a  5^9 


23d  Congress,  [    Rep.  No.  481.   ] 

\st  Session. 


UNITED  STATES  BANK. 


May  22,  1834. 


Mr.  Thomas,  from  the  committee  appointed  to  inves 

the  Bank  of  the  United  States,  made  the  following 

REPORT: 

• 

The  committee  appointed,  in  pursuance  of  a  resolution  of  the  House 
of  Representatives,  passed  on  the  4th  day  of  April,  by  which  it  was 

Resolvedj  That,  for  the  purpose  of  ascertaining,  as  far  as  practicable, 
the  cause  of  the  commercial  embarrassment  and  distress  complained  of 
by  numerous  citizens  of  the  United  States  in  sundry  memorials  which 
have  been  presented  to  Congress  at  the  present  session,  and  of  inquir- 
ing whether  the  charter  of  the  Bank  of  the  United  States  has  been  vio- 
lated, and  also  what  corruptions  and  abuses  have  existed  in  its  manage- 
ment ;  whether  it  has  used  its  corporate  power  or  money  to  control  the 
press,  to  interfere  in  politics,  or  influence  elections  ;  and  whether  it  has 
had  any  agency,  through  its  management  or  money,  in  producing  the  ex- 
isting pressure,  a  select  committee  be  appointed  to  inspect  the  books,  and 
examine  into  the  proceedings  of  the  said  Bank,  who  shall  report  whether 
the  provisions  of  the  charter  have  been  violated  or  not ;  and,  also,  what 
abuses,  corruptions,  or  malpractices  have  existed  in  the  management  of 
said  Bank ;  and  that  the  said  committee  be  authorized  to  send  for  per- 
sons and  papers,  send  to  summon  and  examine  witnesses  on  oath,  and  to 
examine  into  the  aftairs  of  the  said  Bank  and  branches.  And  they  are 
further  authorized  to  visit  the  principal  Bank,  or  any  of  its  branches,  for 
tl&e  purpose  of  inspecting  the  books,  correspondence,  accounts,  and  other 
papers  connected  with  its  management  or  business  ;  and  that  the  said  com- 
mittee be  required  to  report  the  result  of  such  investigation,  together 
with  the  evidence  they  may  take,  at  as  early  a  day  as  practicable  : 
Respectfully  submit  the  following  report,  in  part,  of  their  proceedings, 
so  far  as  they  have  found  it  practicable  to  discharge  the  duties  devolved 
on  them. 

Charged  particularly  to  examine  into  the  conduct  and  condition  of  the 
43ank  of  the  United  States,  they  have  endeavored  most  anxiously  to  as- 
certain correctly  the  true  character  of  that  highly  responsible  and  deli- 
cate trust. 

To  judge  rightly  of  the  proceedings  of  the  House  of  Representatives, 
and  of  its  committee  towards  the  Bank,  it  must  be  borne  constantly  in 
mind  that  that  corporation  ditlers  essentially  from  an  ordinary  banking 
company,  incorporated  for  private  benefit.     The  Bank  of  the   United 

[Gales  &.  Seaton,  print.] 


o 


[  Rep.  No.  481.  J 


(♦as  chartered  for  great  public  purposes,  as  an  agent,  deemed  ne- 
"  to  tbe  Federal  Government,  in  the  efi&cient  exercise  of  its  high 
■•,  to  fix  the  V  due  of  money,  and  thereby  secure  the  benefits  of 
ulating  fiti.vMum  to  the  confederacy. 

'gntu'  K-  Ju  the  Treasury  Department  to  collect  conveniently 
the  national  revenue.     Of  its  stock,  the  United  States  hold 
of  doilar*?,  and  its  notes  are  by  law  made  receivable,  at 
wj  payment  c  '  all  dues  to  the  Government.     Concede,  as  we 
the  Bank        i  established  for  great  public  ends,  and  that  the 
e  of  Representau .  _  >  is  the  grand  inquest  of  the  Union,  and,  as  such,  has 
power  to  visit  and  insprjct  all  departments  of  the  Federal  Government, 
10  coricct  l^eir  abuses,  reform  their  errors,  and  confine  the  exercise  ot 
their  powers  withai  tbe  limits  prescribed  by  law  to  each,  and  it  follows 
that  the  House  has  power  to    appoint  a  committee  to  make  a  minute  and 
full  inquiry  into  all  the  multiform  operations  of  this  powerful  corporation. 
•  But  that  there  might  be  no  doubt  of  the  existence  of  the  power  liere  con- 
tended for,  it  has  been  expressly  reserved  in  the  23d  section  of  the  charter 
of  the  Bank,  which  provides  "that  it  shall  be  at  all  times  hiwful  for  a 
committee  of  either  House  of  Congress,  aj)pointcd  for  that  ])urpose,  to  in- 
spect the  books  and  examine  into  the  proceedings  of  the  corporation  hereby 
created,  and   to   report  whether  the  provisions  of  its  charter  have  been 
violated  or  not." 

The  language  in  which  this  authority  of  the  House  is  described,  is  so 
plain  and  s»  full,  that  an  attempt  to  illustrate  it  appears  to  be  supereroga- 
tory. The  committee  to  be  appointed  are  to  "  inspect  the  books,  and  to 
examine  into  the  proceedings  of  the  corporation,"  without  exception.  The 
section  contains  no  reserved  power  to  the  Bank  to  designate  the  j)lace 
where,  or  the  persons  in  whose  presence  the  examination  shall  be  made. 
These  modes  of  exercising  the  main  power  are  necessaiily,  as  its  incidents, 
dependent  on  tlie  discretion  of  the  sovereign  with  whom  it  is  lodged.  A 
contrary  construction  would  make  either  or  both  Houses  of  Congress  de- 
pendent on  the  agents  whose  conduct  is  to  be  the  subject  of  inspection. 

If  the  Bank  can  attach  any  conditions  to  its  exercise,  not  found  in  the 
charter,  then  it  could  render  nugatory  the  power  by  which  it  was  intended 
it  should  be  checked  and  controlled.  That  the  great  conservative  pur- 
poses for  which  such  committees  of  investigation  were  to  be  appointed 
might  not  be  thus  defeated,  the  extent  and  character  of  their  inquiries  are 
rightly  made  to  depend  on  the  wisdom,  patriotism,  and  justice  of  either 
House  of  Congress. 

The  only  restiiction  to  be  found  in  that  clause  of  tlicBaiik  charter  which 
wo  are  considering,  is  that  which  relates  to  the  committee,  and  not  to  the 
House  ;  and  has  reference  not  to  the  extent  of  the  examination,  but  to  the 
character  of  the  report  to  be  made.  The  committee  is  directed  to  report, 
amongst  other  things,  "  whether  the  provisions  of  this  charter  have  been 
violated  or  not."  The  object  of  this  specific  requirement  is  to  be  found  in 
another  clause  of  the  same  section  of  the  charter,  which  provides,  "  when- 
ever any  committee,  as  aforesaid,  shall  find  and  i-ejiort,  or  the  President  of 
the  United  States  shall  have  reason  to  believe,  that  the  charter  has  been 
violated,  it  may  be  lawful  for  Congress  to  direct,  or  the  President  to  order, 
n  scire  facias  to  be  sued  out  of  the  circuit  court  of  t)ie  district  of  Pennsyl- 
vania, in  the  name  of  the  United  States,  calling  on  the  said  corporation  to 


[  Rep.  No.  481  JSB^ 

A  " 

show  cause  wherefore  the  charter  hereby  gr  ^  '   J 

^  forfeited." 

1"       But  if  there  ever  had  been  a  well-founded  d 
(J.  construction  of  this  reserved  power  of  the  Hoi 
"^  pose  it  had  been  h)ng  since  yielded. 
qI-       In  1818,  Mr.  Spencer,  of  New  York,  olfered 
^  tatives  a  resolution  providing  for  the  appointi 
(^  8pect  the  books,  and  examine  into  the  pi-ocecd 
debate  to  wliich  that  resolution  gave  rise,  the  oj 
your  committee  were  well   expressed  by  many 

For  j)resenting  short  extracts  from  one  of  the  speecues  tlien  made,  no  apo- 
logy,  it  is  supposed,  will  be  needed.     Mr.  Lowndes  said  he  had  no  *^  ap- 
prehension of  defect  of  power  in  the  House  to  prosecute  the  inquiry  in  the 
terms  jjroposed.     He  had  no  doubt  of  the  power  of  the  House,  if  the  public 
interest  required  it,  to  direct  a  committee  to  make  such  a  report.     The  na- 
tion, said  he,  has  a  deep  interest  in  the  conduct  and  management  of  the 
Bank.     Our  duty  to  the  ])eople   whom  we  re|)i-esent,   the  nation's  interest, 
as  owners  of  a  large  portion  of  the  stock,  its  interest  in  the  revenues  being 
wholly  payable  in  the  notes  of  the  Bank,  will  justify  a  constant  and  vigi- 
lant attention  to  its  proceedings.     If  there  had   been  a  doubt  whether  the 
conduct  of  the  Bank  had  been  propkii  or  not,  the  JIause  was  fully  justified 
^in  investigating  into  the  facts,  and  inquiring  whether  abuses  had  been  com- 
^mitted  or  not.    He  would  vote  for  any  inquiry,  in  its  broadest  shape." 
■■**•     The  resolution  of  Mr.  Spencer  was  adopted,  and  a  committee  appoint- 
^ed,  who  visited   the   principal  Bank   at   Pliiladelphia,   and  some  of  its 
^branches.     They  had  free,  unrestrained  access  to  the  books  and  papers  of 
the  Bank.     They  were  furnished  by  the  officers  with  such  extracts  and 
*  copies  from  the  books  and  papers  as  they  called  for.     They  summoned  be- 
fore them  the  directors  and  officers  of  the  Bank,  and  examined  them,  on 
ath,  touching  their  conduct  and  proceedings.     And  the  committee  made 
to  the  House,  on  the  l6th  January,  1819,  an  elaborate  report,  from  which 
we  learn  that  their  inquiries  had  been  chiefly  directed   ''  to  the  general 
management  of  the  Bank,  and  the  conduct  of  its  officers.'"     The  transactions 
of  private  citizens  with  the  Bank  were  then  fieely  and   fully  examined. 
^Individual  transactions  of  the  President  and  Directors  of  the  Bank,  in  the 
JQ  purchase  of  its  stock,  were  fully  investigated,  and  those  officers  sworn  and 
required  to  testify  before  the  committee.     Though  deeply  affected,  person- 
ally and  officially,  by  these  developments,  they  never  hesitated  or  objected 
to  obey  the  process,  or  to  give  their  testimony. 

The  names  of  the  borrowers  from  the  Bank  were  published  without  scru- 
ple, with  the  amount  of  money  due  from  eacli,  whenever,  and  not  otherwise, 
such  a  publication  was  deemed  necessary  to  illustrate  the  improper  conduct 
or  maladministration  of  its  officers. 

This  precedent,  to  which  the  committee  of  1832  strictly  conformed,  is 
entitled  to  high  respect  from  the  eminent  character  of  those  by  whom  it 
was  established,  and  who  have  justly  enjoyed  high  reputations  for  purity 
of  purpose  and  distinguished  attainments.* 

If  any  additional  reason  for  deference  to  this  contemporaneous  construc- 
tion of  the  23d  section  of  the  charter  be  nece*?sary,  it  may  be  found  in  the 
fact  that  the  directors  of  the  Bank  in  1819  themselves  assented  to  it. 
They  conceded  to  the  Committee  of  the  House  the  right  to  inspect  all  their 
•  The  committee  of  1819,  were,  Mr.  Spencer  of  New  York,  Mr.  M'Lane  of  Delaware^ 
Mr.  Lowndes  of  South  Carolina,  Mr.  Burwell,  and  Mr.  Tyler,  of  Virginia. 


^yo:ij^h  ^ 


Rep.  No.  481.  J 

.,,  ...  ^^.,,  manner  as  that  committee  thought  just  and 
s.  those  wiio  now  have  the  management  of  the  Bank,  in 
^  ^M.  !. ,  ■  quests  n  of  right,  without  hesitation,  without  protest,  pro- 
.•cf,  for  (he  inspection  of  the  Committee  of  tlie  House,  all  their  books 
•ij  corresponderice,  an  J  accounts,  and  appeared  when  summoned,  and 
•d  on  oath  touching  the  transactions  of  the  institution  under  their 
control.  With  tliese  preliminary  observations,  for  which  it  is  believed 
Mmpic  apology,  if  any  be  r;iquired,  will  be  found  in  the  subsequent  portion 
'  this  report,  the  coi'iniitee  will  proceed,  with  a  brief  analysis  of  their 
j,.v.v:ccuiiigs,  111  the  execution  of  the  duties  devolved  on  them.  Showing  the 
unexpected  obstacles  interposed  by  the  managers  of  the  Bank  to  the  pro- 
gress of  tlie  examination,  and  their  repeated  refusals,  in  violation  of  their 
charter,  and  in  contempt  of  the  authority  of  the  laws  and  of  the  House  of 
Representatives,  to  permit  their  books  or  papers  to  be  inspected,  or  their 
proceedings  to  be  examined. 

The  purposes  for  which  your  committee  were  appointed,  are  stated  so 
distinctly  in  the  resolution  of  the  House,  that  they  have  experienced  no  em- 
barrassment in  deciding  on  the  character  of  the  duties  imposed.  They 
were  required, 

1st.  To  ascertain,  if  practicable,  the  causes  of  thecommercial  embarrass- 
ment and  distress  comj)lained  of  by  numerous  citizens  of  the  United  States  in 
sundry  memorials  which  have  been  presented  to  Congress  at  the  present 
session,  and  whether  the  Bank  has  had  any  agency,  through  its  manage- 
ment, or  money,  in  producing  the  existing  pressure. 

2d.  To  inquire  whether  the  charter  of  the  Bank  of  the  United  States 
has  been  violated,  and  what  corrujjtions  and  abuses  have  existed  in  its 
management. 

Sd.  To  examine  whether  the  Bank  has  used  its  corporate  power  or 
money  to  control  the  press,   to  interfere  in  politics,  or  influence  elections. 

The  powers  designed  to  be  conferred  on  the  committee,  if  they  could 
have  been  exercised,  are  adequate  to  the  performance  of  the  duties  enjoin- 
ed ;  they  were  authorized  to  send  for  persons  and  papers  ;  to  summon  and 
examine  witnesses  on  oath  ;  to  visit,  if  necessary,  the  principal  Bank  and 
its  branches  ;  and  to  inspect  the  books,  correspondence,  accounts,  and 
other  ])apers  connected  with  its  management.  Such  are  the  duties  and 
the  powei*s  of  your  committee,  conferred  on  them  by  the  House  with  extra- 
ordinary unanimity,  and  which  ytfur  committee  felt  bound  to  regard,  as 
consistent  with  the  chartered  rights  of  the  corporators  and  their  debtors. 

Under  a  deep  sense  of  respectful  obedience  to  the  decision  of  the  House 
of  Representatives  thus  solemnly  expressed,  and  feeling  that  they  had  no 
right  to  question  its  justice  or  propriety,  your  committee  proceeded  to  Phila- 
delphia on  the  22d  of  April,  to  commence  the  performance  of  their  duties. 

On  the  23d'  of  April,  their  chairman  addi-cssed  to  the  President  of  the 
Bank  a  communication,  enclosing  a  co])y  of  the  resolution  of  the  House 
of  Representatives,  and  notifying  him  of  the  readiness  of  the  committee  to 
visit  the  Bank  on  the  ensuing  day  at  any  hour  agreeable  to  him.  In  reply, 
the  President  informed  the  committee  that  tiie  j)apers  thus  received  should 
be  submitted  to  the  Board  of  Directors  at  a  special  meeting  to  be  called 
for  that  puipose.  It  appears  in  the  journal  of  the  proceedings  of  the  com- 
mittee, hei-cwith  presented  to  the  House,  that  this  was  done,  and  that  the 
directors  apj)oinfed  a  committee  of  seven  of  their  Board  to  receive  the 
Committee  of  the  House  of  Representatives,  and  to  ofiTcr  for  their  inspec- 
tion such  books  and  papers  of  the  Bank  as  may  be  necessary  to  exhibit  the 


[  Rep.  No.  481.  ] 


proceed ing3  of  the  corporation  according  to  the  requirement 
ter.  In  the  letter  of  John  Sergeant,  Esquire,  as  chairman  of 
tee  of  Directors,  communicating  the  proceedings  of  tlie  Board,  nc  sh^s  mat 
he  was  directed  to  inform  the  chairman  of  this  committee  that  the  Com- 
mittee of  the  Directors  "  will  immediately  direct  the  necessary  arrange- 
ments to  he  made  for  the  accommodation  of  the  Committee  of  the  House  of 
Representatives,"  and  would  attend  at  the  Bank  to  receive  them  the  next 
day,  at  1 1  o'clock.  Your  committee  attended,  and  were  received  by  the 
Committee  of  Dii-ectors.     (App.  A.) 

Up  to  this  period,  nothing  ha<l  occurred  to  justify  the  belief  that  a  dis- 
position was  felt,  on  the  part  of  the  managers  of  the  Bank,  to  embarrass 
the  proceedings  of  the  committee,  or  have  tliem  conducted  differently  from 
those  of  the  two  preceding  committees  of  investigation.  On  assembling, 
howevei",  the  next  morning,  at  the  Bank,  tliey  found  tl»e  room  which  had 
been  offered  for  their  accommodation  pre-occupied  by  the  Committee  of  the 
Board,  witli  the  President  of  the  Bank  as  an  ex  officio  member,  claiming 
the  right  to  be  present  at  the  investigations  and  examinations  of  this  com- 
mittee. This  proceeding  the  committee  were  not  prepared  to  expect. 
When  the  appointment  of  the  committee  of  seven  was  first  made,  it  was 
supposed  that  that  measure,  however  designed,  was  not  well  calculated  to 
facilitate  the  examination. 

The  officers  of  the  Bank  were  believed  to  be  the  most  appropriate  agents 
<)f  the  Board  of  Directors  to  exhibit  their  books  and  papers.  By  them  the 
entries  in  the  books  are  made,  and  by  them  such  entries  are  most  readily 
explained.  It  is  their  duty,  too,  to  be  daily  at  the  banking  house,  and  on 
that  account  they  could  assist  in  the  examination  more  readily  than  the 
Committee  of  Directors. 

These  objections  to  the  special  agents  of  the  Board  were  felt  and  ex- 
pressed, but  they  were  waived,  and  no  disposition  had  been  manifested,  op 
ielt  by  your  committee,  to  conduct  the  examination  in  any  manner  not  en- 
tirely acceptable  to  the  Board. 

Under  these  circumstances,  your  committee  did  think  that  a  decent  re- 
spect for  their  rights  and  privileges,  and  much  more  for  the  dignity  of  that 
body  from  which  all  their  powers  were  derived,  might  have  induced  the 
Committee  of  Directo^s  to  forbear  to  make  thetn  feel  an  entire  want  of 
control  over  their  own  room.  Witli  a  previous  determination  to  be  pre- 
sent when  their  books  were  to  be  inspected,  they  could  have  waited  to 
avow  it  until  these  books  were  called  for,  and  the  attempt  made  to  inspect 
them  in  their  absence.  These  circumstances  are  now  reviewed,  because 
they  then  excited  an  apprehension,  which  the  sequel  formed  into  conviction, 
that  this  Committee  of  Directors  had  been  appointed  to  supervise  the  acts 
and  doings  of  your  committee,  and  to  limit  and  restrain  their  proceedings, 
not  according  to  the  directions  contained  in  the  resolution  of  the  House, 
but  the  will  and  judgment  of  the  Board  of  Directors.  Your  committee 
have  chosen  to  ascribe  this  claim  of  the  Committee  of  Directors,  to  sit 
conjointly  with  them,  to  the  desire  to  prevent  them  from  making  use  of  the 
books  and  papers,  for  some  of  the  pui-poses  pointed  out  by  tlie  resolution 
of  the  House.  They  are  sensible  that  this  claim  to  be  present  at  all 
examinations,  avowed  pi-ematurely,  and  subsequently  persisted  in  with 
peculiar  pertinacity,  could  be  atti-ibutcd  to  very  different  motives  ;  but  re- 
spect for  themselves,  and  respect  for  tlie  gentlemen  who  composed  the  Com- 
mittee of  Directors,  utterly  forbids  the  asciiption  to  them  of  a  feeling 
\v  hich  would  merit  compassion  and  contempt  much  more  than  resentment. 


5  [  Rep.  No.  481.  J 

This  vel  position,  voluntarily  and  deliberately  taken  by  the  Com- 
,ie  Dii'cctois,  predicated  on  an  idea  of  equality  of  rights  witlk 
your  committee,  undei'  your  lesohition,  retulcred  it  probable,  and  in  some 
measure  necessary,  that  jour  committee  should  express  its  opinions  of  the 
relative  lights  of  the  corporation  and  the  House  of  Representatives.  Ta 
avoid  all  misunderstar.ding  and  future  misrepresentations,  it  was  desirable 
that  each  question  should  be  decided  separately.  Contemplating  an  ex- 
tended investigation,  but  unwilling  that  an  apprehension  should  exist  of 
improper  disclosures  being  made  of  the  transactions  of  the  Bank  and  ita 
customei's,  your  committee,  following  theexampleof  the  committee  of  1832, 
adopted  a  resolution  declaring  that  their  proceedings  should  be  confidential, 
until  otherwise  ordered  by  the  committee,  and  also  a  resolution  that  the 
committee  would  conduct  its  investigations  "without  tlie  presence  of  any 
person  not  required  or  invited  to  attend."  Copies  of  these  resolutions  were 
furnished  to  the  Committee  of  Directors,  in  the  hope  that  the  exclusive  con- 
trol of  a  room  at  the  Bank,  duiiiig  its  hours  of  business,  would  thereafter 
be  conceded  to  your  committee,  while  the  claim  of  the  Committee  of  Di- 
rectors to  be  present  when  tlieir  books  were  submitted  for  inspection,  should 
be  postponed  for  decision,  when  the  books  were  called  for  and  pi-oduced  by 
them.     (App.  A.) 

On  the  28th  ultimo,  this  committee  assembled  at  the  banking  house,, 
and  again  found  the  room  they  expected  to  find  set  apart  for  their  use,  pre- 
occupied by  the  Committee  of  Directors,  and  others,  officers  of  the  Bank. 
And,  iiistead  of  such  assurances  as  they  had  a  right  to  expect,  they  received 
copies  of  two  resolutions  adopted  by  the  Board  of  Dircctoi-s,  in  which 
they  were  given  to  understand  that  their  continued  occupation  of  the  room 
must  be  ccisideied  a  fa\or,  and  not  a  matter  of  right ;  and  in  wiiich  the 
Board  indulge  in  unjust  commentaiies  on  the  resolution  of  the  House  of 
Re|)resentatives,  and  intimate  an  apprehension  that  your  committee  de- 
sign to  make  their  examinations  seciet,  partial,  unjust,  oppressive,  and 
contraiy  to  common  right.     (App.  A.) 

"When  this  communication  had  been  read,  your  committee  adjourned  to 
meet  at  their  own  chamber,  at  the  North  American  hotel.  Notwithstand- 
ing all  that  had  occurred,  the  correspotidence  with  tlie  Committee  of  Di- 
rectors was  continued.  If,  in  so  doing,  an  error  was  committed,  let  it  be 
imputed  to  the  belief  that  great  forbearance  well  became  the  committee 
of  the  immediate  I'epresentutives  of  the  people.      (App.  A.) 

While  it  was  thus  doubtful  whether  a  room  coul<l  be  obtained  in  the 
banking  house,  without  conditions  being  attached  derogatory  to  the  rights 
and  dignity  of  the  House,  and  a  concession  in  advance  of  a  claim  set  up 
by  the  Bank,  'which  might  scr-iously  incommode  your  committee  in  their 
business,  they  determined  to  execute  your  i-esolution,  if  practicable,  with- 
out intruding  on  the  directors  of  the  Bank  ;  they,  therefore,  required  of 
the  President  and  Directors,  in  writing,  to  submit  for  the  insjiection  of  the 
committee,  at  their  committee  room,  on  the  3d  day  of  May,  certain  books 
and  paper-s  of  the  Bank,  which  might  have  been  thus  pr-oduced  without 
interrujjtion  to  the  ordiiiar-y  l)usiness  of  the  Bank.  The  r-equisition,  in 
terms,  implied  the  presence  of  the  director's  or-  their-  committee. 

Orr  the  day  named,  the  Board  addr-esscd  a  wr-itten  communication  to  the 
committee,  declaring  "that  they  cannot  comply  with  that  part  of  the  re- 
solution of  the  Committee  of  Investigation  which  requires  that  certain 


[  Rep.  No.  481.  J  7 

books  of  the  Bank  be  sent  to   the  North  American  hotel  this  day,  at 
11  o'clock.'*     (A pp.  B.) 

Your  committee  are  of  oinnioii  that  this  refusal  of  the  Board  of  Direc- 
tors to  submit  the  books  of  the  Bank  to  the  inspection  of  your  committee, 
is  a  violation  of  the  Bank  charter,  and  a  contempt  of  the  laws  and  autliority 
of  the  House  of  Representatives. 

The  reasons  for  this  opinion  neeil  not  be  here  repeated  or  enlarged. 

It  has  been  maintained,  and  is  insisted,  tliat  the  right  to  inspect  the 
books  of  the  Bank,  carries  with  it  the  power  to  j)crform  that  uffice  out  of 
the  banking  house,  if  it  cannot  be  done  conveniently  and  effectually  there- 
in, and  your  committee  cannot  perceive  that  just  ground  of  complaint  ex- 
ists against  a  claim  of  power,  in  a  committee  of  either  House  of  Congress, 
which,  by  the  laws,  and  with  a  wise  regard  to  tlie  public  interest,  is  con- 
ceded to  the  judicial  tribunals  of  both  the  Federal  and  State  Governments. 

The  facts  already  stated  der^onstrate  that  a  room  could  not  be  procured 
in  the  Bank  for  tlie  useof  the  committee,  without  a  concession  not  to  be  re- 
called, which  would  have  made  your  committee  dependent  on  the  courtesy 
of  the  directors  of  the  Bank  at  every  step  of  their  inquiry  ;  and  the  vari- 
ous communications  leccived  from  the  directors  and  thtir  committee,  an- 
nexed to  tiiis  report,  will  fully  corroborate  tliis  statement. 

Having  failed  to  accomplish  the  object  of  procuring  the  booksof  the  Bank 
for  inspection  at  their  committee  room,  your  committee  felt  it  to  be  theip 
duty  to  demand  their  submission  for  that  purpose,  at  the  Bank,  of  the  Pre- 
sident and  Cashier  of  the  Bank,  the  usual  and  general  agents  of  the  corjK)- 
ration.  For  that  purpose,  on  the  5th  day  of  May,  having  apprised  the 
Committee  of  Directors  of  their  intention,  at  one  o'clock  they  repaired  to  the 
Bank,  and  there  required  the  President  and  Cashier,  each  of  them  respec- 
tively, to  produce  certain  of  the  books  of  the  Bank,  for  inspection  of  the 
committee.  This  was  refused  by  eacii  of  those  oflicers,  for  reasons  stated 
in  writing,  and  to  be  found  in  the  appendix  to  this  report.     (App.  C.) 

In  this  refusal,  your  committee  believe  tiierc  was  a  substantial  violation 
of  the  Bank  charter,  and  a  contempt  against  the  authority  of  the  House 
committed. 

They  are  of  opinion  that  your  committee  were  under  no  obligation  of 
right  to  recognise  any  agent  of  the  Bank  other  than  those  generally  known 
as  such,  and  make  their  duty  and  right  to  inspect  the  books  depend  on  the 
convenience  or  capiice  of  such  deputation. 

If  such  be  the  fact,  then  the  examinations  of  the  Bank  will,  in  all  cases, 
depend  on  the  disposition  of  the  directors  to  have  their  proceedings  ex- 
amined. 

Having  been  thus  denied  by  the  officers  of  the  Bank,  and  having  been  in- 
formed by  the  directors  that  they  were  not  aware  of  having  declined  to 
furnish  a  room  for  tlie  exclusive  use  of  the  committee,  your  committee,  sin- 
cerely desirous  to  meet  the  wishes  and  directions  of  the  House,  believed  it 
to  be  their  duty  to  seek  another  interview  with  the  Committee  of  Directors, 
and  by  arrangement  met  the  Committee  of  the  Board  at  the  Bank,  on  the 
7th  day  of  May,  at  an  hour  fixed  by  themselves. 

Your  committee  then  arul  there,  in  writing,  required  the  Committee  of 
the  Board  to  produce  to  your  committee,  for  inspection,  certain  books  and 
papers  of  the  Bank,  to  enable  your  committee  to  inquire  into  the  ti'uth  of 
representations  made  by  the  Government  directors  to  the  President  of  the 
United  States  and  to  Congress,  and  to  ascertain  whether  the  Board  of 


8  [  Rep.  No.  481.  ] 

Directors  had  violated  the  charter  of  tlie  Bank,  by  authorizing  the  exer- 
cise of  illegal  powers  by  their  committees  or  officers,  and  whether  the 
Bank  had  any  agency,  through  its  management  or  money,  in  producing 
the  present  pressure,  or  has  used  its  corporate  ])ower  or  money  to  control 
the  press,  to  inlerfeie  in  politics,  or  influence  elections. 

Without  giving  a  specitic  answer  to  these  calls  for  books  and  pa- 
pers, the  Committee  of  Directors  presented  a  written  communication,  which 
was  said  to  be  *'  indicative  of  the  mode  of  proceeding  deemed  right  by  the 
Bank." 

The  Committee  of  the  Board,  in  that  communication,  express  the  opi- 
nion, that  the  inquii-y  can  only  be  rightfully  extended  to  alleged  violations 
of  the  charter,  and  deny,  virtually,  the  right  of  the  House  of  Representa- 
tives to  authorize  the  inquiries  required  in  the  resolution. 

They  also  required  of  the  Committee  of  Investigation,  "  when  they  ask- 
ed for  books  and  jjapers,  to  state  specifically,  in  writing,  the  purposes  for 
which  they  arc  pioposed  to  be  inspected  ;  an<i  if  it  be  to  establish  a  viola- 
tion of  the  charter,  tiicn  to  state  specifically,  in  writing,  what  are  the  al- 
leged or  supposed  violations  of  charter  to  which  the  evidence  is  alleged 
to  be  applicable." 

To  thi  •>  extraordinary  requirement,  made  on  the  supposition  that  your 
committee  were  charged  with  the  duty  of  crimination,  or  prosecution  for 
criminal  offence,  and  implying  a  right  on  the  part  of  the  directors  to  de- 
termine for  what  purposes  the  inspection  should  be  made,  and  what  books 
or  papers  should  be  submitted  to  inspection,  your  committee  replied  that 
they  were  not  charged  with  the  duty  of  criminating  the  Bank,  its  direc- 
tors, or  others,  but  simply  to  inquire,  amongst  other  tilings,  whether  any 
prosecution,  in  legal  form,  should  be  instituted,  and  from  the  nature  of 
their  duties,  and  the  instructions  of  the  House  of  Representatives,  they  were 
not  bound  to  state  specifically,  in  writing,  any  charges  against  the  Bank, 
or  any  special  purpose  for  which  they  required  the  production  of  the  books 
and  papers  for  inspection. 

A  specific  answer  was  requested  to  tiie  calls  which  had  been  made. 

The  Committee  of  the  Board,  after  delibei-ation,  made  a  communication 
to  your  committee,  in  writing,  in  which  they  announced  their  purpose  to 
adhere  to  their  resolution,  and  refused  to  submit  the  books  and  pajjcrs  of 
the  Bank  required  by  your  committee  to  be  ])roduccd  for  their  inspection. 

These  calls  weie  made  in  the  Bank,  and  in  the  presence  of  the  Com- 
mittee of  the  Board,  and  then  and  there  a  compliance  with  them  was  re- 
fused. Not  feeling  authorized  to  regard  tiiis  unexpected  and  unequivocal 
refusal  as  the  act  of  the  B(n\r(l  of  Directors,  your  committee  submitted  the 
proceedings  of  their  committee  to  the  Board,  and  they  were,  by  the  Board, 
'♦fully  apjjroved  and  sanctioned."     (Ai)p.  D.) 

In  this  act  of  refusal,  which  nothing  tiiat  had  occurred  had  prepared 
them  to  anticij)ate,  your  committee  are  of  o|)inioa  that  the  charter  of  the 
Bank  was  violated,  and  a  contempt  of  the  authority  of  the  House  of  Repre- 
sentatives committed. 

•  Your  committee,  acting  under  the  instructions  of  the  House  of  Repre- 
sentatives, without  power  to  modify  or  enlarge  them,  charged  to  inquire, 
and  not  authorized  to  accuse  or  to  arraign,  excejjt  in  their  report  to  the 
House  itself;  armed  with  but  the  limited  authority  of  a  committee,  unau- 
thorized to  ])unish,  were  necessarily  comjielled  to  the  conclusion,  that,  in 
the  face  of  the  obstructions  already  detailed,  they  could  not  efticiently  pro- 


[  Rep.  No.  481.  J  9 

secute  the  inquiries  with  which  they  were  charged,  without  the  aid  of  the 
power  of  the  House  of  Kepresentatives. 

Anxious,  however,  to  perform  their  duty  without  complaint  to  the  House, 
and  in  conformity  with  tiie  proceedings  of  the  Committees  of  Investigation 
of  1819  and  1832,  your  committee  called  on  the  Bank,  in  a  series  of  resolu- 
tions, to  furnisii  statements,  and  certain  extracts  and  copies  from  their 
books  and  papers,  which,  in  the  opinion  of  your  committee,  were  all  inti- 
mately connected  with  Iheir  duties,  and  many  of  them  indispensable  to 
afford  to  the  House  of  Representatives  the  information  which  they  had  di- 
rected your  committee  to  obtain. 

The  first  of  these  was  responded  to  by  tlie  Committee  of  Directors,  and 
the  information  furnished.  Though  useful,  it  was  comparatively  unim- 
portant. 

The  Board  of  Directors,  after  deliberation,  refused  to  comply  with  the 
other  calls,  for  reasons  which  will  be  found  in  their  resolution  in  the  ap- 
pendix, and  which  reasons  deserve  examination,  as  manifesting  the  delibe- 
rate purpose  of  tiie  directors  to  resist  all  attempts  to  examine  into  the  pro- 
ceedings  of  the  corporation  in  the  latitude  required  by  your  resolution. 

They  say  that  the  Board  of  Directors  do  not  feel  themselves  at  liberty  to 
comply  with  the  requirement  of  the  Committee  of  Investigation,  because 
*'part"  of  the  copies  called  for  "  relate  to  matters  over  which  the  Board 
have  no  control."     (App.  E.) 

This  reason,  it  is  plain,  cannot  have  had  much  weight  in  producing  the 
decision  of  tlie  Board.  If  only  a  part  of  the  information  desired  was  be- 
yond the  control  of  the  Board,  that  fact  could  have  been  stated,  and  this 
committee  would  have  cheerfully  received  the  residue. 

2d.  The  Board  say  they  cannot  comply,  because  it  would  be  impossible 
for  them  to  do  so  *' within  any  reasonable  time,  having  ascertained,  by  a 
careful  examination,  tijat  the  copies  and  statements  called  for  by  the  reso- 
lutions of  the  29th  ultimo  alone  would  require  the  uninterrupted  labor  of 
two  clerks  for  at  least  ten  months." 

This  reason,  it  is  also  fair  to  presume,  could  not  have  materially  influ- 
enced the  decision  of  the  Board.  If,  in  truth,  an  entire  compliance  with 
all  the  resolutions  would  require  great  labor,  still  that  did  not  justify  the 
refusal  to  comply  with  any  one  of  them.  Besides,  the  whole  objection 
could  have  been  obviated  by  the  employment  of  more  clerks  than  two,  the 
compensation  to  whom,  if  paid  either  by  tiie  Bank  or  this  committee, 
would  have  been  well  expended  in  gratifying  the  requirements  of  the  House 
of  Representatives. 

3d.  The  Board  say  they  cannot  <' comply,  inasmuch  as,  in  respect  to  a 
part  of  the  papers  called  for,  the  effect  would  be  the  same  as  the  surrender 
of  their  books  and  papers  to  a  secret  and  ex  parte  examination." 

Who  can  read  this  last  reason  for  refusing,  given  by  tlie  directors,  and 
fail  to  perceive  that  this  committee  is  justified  in  declaring  that,  without 
the  aid  of  compulsory  process,  they  cannot  obey  the  directions  of  the  House  ? 
If  extracts  from  their  own  books,  made  by  their  own  clerks,  will  not  be 
furnished,  because  they  might  be  used  to  conduct  an  ex  parte  examination, 
what  benefit  could  this  committee  expect  to  derive  by  access  to  the  books 
themselves  ? 

Permission  to  take  extracts  for  themselves  could,  atid  probably  would, 
be  denied,  for  the  same  reasons;  and  a  committee  of  the  House,  without 
power  to  compel  obedience  to  its  demands,  would  have  power  to  make  no 
2 


10  [  Rep.  No.  4S1.  J 

use  of  the  books  wliich  was  not  approved  by  the  directors  themselves^ 
And  the  House  will  be  at  no  loss  to  determine  what  latitude  they  would  be 
willing  to  give  their  iiiquii-ies.  And  without  authentic  extracts,  such  as 
were  unhesitatingly  furnished  by  the  Bank  to  both  the  former  committees 
of  investigation,  your  committee  could  very  imperfectly  convey  to  the 
House  the  grounds  of  their  conclusions,  or  the  results  of  their  inspections 
and  examinations. 

In  wiiat  condition,  then,  is  your  committee  pPaced  ?  The  House  have 
commanded  them  to  inquire  '•  what  corruptions  and  abuses  have  existed 
in  the  management  of  the  Bank,"  '<  whether  it  has  used  its  corporate 
power,  or  money,  to  inteifere  in  politics,  or  influence  elections." 

To  do  this,  they  have  attempted  to  use  the  only  means  that  can,  by  pos- 
sibility, enable  tliem  to  fulfil  this  duty  ;  and  tliey  are  refused  by  the  direc- 
tors access  to  those  means  which  are  in  their  custody,  and  which,  by  their 
charter,  they  are  bound  to  furnish  ;  because,  say  they,  the  inquiry  this 
committee  have  been  charged  to  make,  "  can  only  be  rightfully  extended  to 
alleged  violations  of  tiie  charter."  And  even  these  violations  of  charter 
are  not  to  be  iiuiuircd  of  until  the  Board  is  furnislicd  with  **  a  specifi- 
cation of  all  the  cliarges  intended  to  be  inquired  into."  Should  supposed 
violations  of  chaiter  be  specifically  charged,  then  the  directors  are  to  de- 
cide whetiier  the  facts,  if  true  as  stated,  would  amount  to  technical  violations 
of  charter,  and  then,  and  not  till  thc'i,  will  your  committee  be  permitted 
to  "proceed  with  them  in  order,  as  stated."  It  must  be  said  that  these 
pretences,  by  which  the  Bank  would  justify  its  bold  disregard  of  the  pro- 
visions of  its  chai  ter,  are,  in  themselves,  derogatory  to  the  dignity,  and 
contemptuous  to  the  authority  of  the  House,  to  which  it,  in  part,  owes  its 
being. 

The  committee  believe  that  these  proceedings  of  the  Bank  directors, 
denying  vital  and  essential  powers  to  the  two  Houses  of  Congress,  and  as- 
serting, in  effect,  a  paramount  and  controlling  authoiity  over  both  in  exe- 
cuting a  power  devised  as  a  check  upon  the  Bank  itself,  would  justify  a 
more  extended  comment.  But  confiding  in  the  disposition  of  the  House  to 
maintain  its  own  rights  and  dignity,  and  to  sustain  your  committee  in  the 
faithful  discharge  of  their  duty,  they  present,  as  a  part  of  this  report,  the 
various  resolutions  adopted  by  your  committee,  with  those  received  from 
the  agents  of  the  Bank,  as  an  appendix,  declaratory  of  the  powers  believed 
to  be  possessed,  and  tlie  purposes  of  your  committee. 

They  believe  that  these  resolutions  will  of  themselves  vindicate  their  con- 
duct and  proceedings  from  all  tliose  imputations  which  are  to  be  found  in 
the  vai-ious  communications  of  the  dii-ectors,  and  their  committee,  and  will 
serve  to  show  that  they  have  afforded  no  justification  whatever  for  the  ex- 
traordinary position  ultimately  taken  by  the  Committee  of  Directors  and 
the  Board  ;  but  that  thcii-  determination  not  to  permit  any  conduct  of 
theirs,  not  involving  breach  of  charter,  to  be  investigated,  must  have  been 
entertained  long  before  it  was  made  known  to  your  committee,  and  that  it 
was  not  communicated  until  every  other  means  of  preventing  the  examination 
had  proved  unavailing.  But  for  this  conduct,  which  your  committee  cannot 
regard  as  distinguished  by  frankness  and  candor,  the  absence  of  your  com- 
mittee from  their  duties  in  the  House  would  have  been  of  much  shorter 
continuance. 

Believing  they  had  now  exhausted,  in  their  efforts  to  execute  the  duty  de- 
volved upon  them,  all  reasonable  means  depending  solely  upon  the  provi- 


[  Rep.  No.  481.  ]  11 

sions  of  the  Bank  charter,  to  obtain  the  inspection  of  the  books  of  this  cor- 
poration, your  committee  were  at  last  reluctantly  compelled  to  resort  to  the 
subpoenas  which  had  been  furnished  to  them  under  the  seal  of  tliis  House, 
and  attested  by  its  Clerk.  They,  thereby,  on  the  9th  instant,  directed  the 
marshal  of  the  eastern  district  of  Pennsylvania  to  summon  Nicholas 
Biddle,  President,  and  thirteen  other  persons,  directors  of  the  Bank,  to  at- 
tend at  their  committee  room,  on  the  next  day,  at  12  o'clock  at  noon,  to 
testify  concerning  the  matters  of  which  your  committee  were  authorized  to 
inquire,  and  to  bring  with  them  certain  books  therein  named  for  inspection. 
The  marshal  served  the  summons  in  due  foim  of  law,  and  at  the  time  ap- 
pointed the  persons  therein  named  appeared  before  the  committee,  and  pre- 
sented a  written  communication  signed  by  each  f>f  them,  as  the  answer  of 
each  to  the  requirements  of  the  subpoena.  (Appendix  F.)  In  tins  pa- 
per they  declare  «'  that  they  do  not  produce  the  books  required,  be- 
cause they  are  not  in  the  custody  of  either  of  us,  but,  as  has  been 
hdjcetofore  stated,  of  tlie  Board,"  and  add,  *' considering  that,  as  cor- 
porators and  as  directors,  we  are  parties  to  the  proceeding,  we  do  not  con- 
sider ourselves  bound  to  testify,  and  therefore  respectfully  decline  to  do  so.*' 

Your  committee  will  not  dwell  long  to  answer  these  teclinical  excuses 
for  this  contempt  of  the  lawful  mandate  of  the  House.  Tiiey  are  to  be 
found  at  large  in  the  w  ritten  document  above  referred  to.  Most  of  them, 
it  is  believed,  liave  been  already  satisfactorily  answered.  The  two  novel 
excuses  herein  set  forth  cannot  but  be  condemned  as  insufficient.  The 
first  is  founded  on  a  very  refined  distinction  between  the  power  of  the 
directors  as  persons  and  as  corporators.  The  same  persons  have  and 
have  not  power  to  submit  the  books.  As  corporators,  the  custody  of  the 
books  is  in  them  ;  but  as  individuals,  although  collectively  assembled,  the 
same  books  are  not  under  their  control.  Thus,  by  an  attenuated  techni- 
cality, the  lawful  authority  of  the  House  is  to  be  defied.  If,  in  one  room 
of  the  Bank,  they  must  be  esteemed  as  "  individual  citizens,"  \Nho  may  law- 
fully disregard  the  subpoena  duces  tecumf  because  they  have  not  the  book 
demanded  ;  if,  in  anotlier  room  of  the  same  house,  by  a  transmigration 
not  known  to  heatiien  pliilosopliy,  their  identity  is  gone  ;  they  have  be- 
come mere  ideal  creatures,  on  which  not  even  a  subpoena  ad  testificandum 
can  be  served.  To  make  this  excuse  still  more  extraordinary,  let  it  be  re- 
membered that  seven  of  the  gentlemen  by  whom  it  is  offered  liad  been  ap- 
pointed by  the  Board  of  Directors  to  exhibit  the  books  of  the  Bank  for 
inspection,  and  of  course  must  have  had  the  right  to  their  exclusive  posses- 
sion for  that  purpose. 

The  reason  assigned  for  the  refusal  to  be  sworn  is  parallel  with  that  which 
hasjust  been  considered.  They  claim,  that,  as  corporators  and  directors, 
they  are  parties  to  the  proceedings  of  the  House,  and  therefore  not  bound  to 
give  testimony.  It  is  a  humane  rule  to  be  found  in  the  criminal  law,  which 
declares  that  no  man  shall  be  compelled  to  criminate  himself,  and  one 
which  this  committee  would  be  unwilling,  under  any  circumstances,  to  deny. 
But  your  committee  are  not  aware  of  any  principle  of  evidence  which  will 
excuse  a  person  for  refusing  to  give  testimony,  simply  because  it  may  sub- 
ject him  to  a  civil  action. 

There  are  provisions  in  the  Bank  charter  making  the  directors  liable 
to  a  civil  suit  if  proved  to  have  participated  in  certain  transactions  therein 
mentioned.  But  it  ought  not  to  be  supposed  tluit  any  thing  can  be  found 
on  the  books  of  the  Bank  that  would  subject  the  directors  to  a  criminal 


12  [  Rep.  No.  481.  ] 

prosecution.  Even  if  tlie  latter  supposition  be  not  entirely  without  foun- 
dation, still  it  is  insisted  that  a  witness  called  on  to  testify,  must  do  so, 
unless  the  court,  or  other  tribunal,  before  which  he  appears,  shall  adjudge 
that  lie  is  interested.  Tliat  question  the  witness  cannot  be  permitted  to 
decide  for  iiimsclf,  otherwise  evidence  might  be  withheld  without  good 
cause.  As  to  the  supposition  that  the  directors,  or  the  corporation  under 
their  control,  are  to  be  considered  parties  to  tlie  inquest  this  committee 
was  directed  to  institute,  it  has  already  been  answered  in  this  report,  and 
needs  no  further  reply.  If  tlie  inquest  had  been  prosecuted,  and  had  satis- 
fied Congress  or  tlie  I'residerit  that  a  scire  facias  ought  to  issue,  then,  and 
not  till  then,  could  the  Bank  directors  become  parties  to  the  proceedings, 
and,  under  that  priticiple,  attempt  to  conceal  transactions  kHown  only  to 
themselves;  and  even  then  their  books  might  be  used  as  evidence  against 
them.  Justice  requires  us  to  add,  that  the  directors,  while  they  protested 
against  our  riglit  to  examine  them,  declared  they  had  no  knowledge,  which, 
if  a  necessary  regard  to  their  duties,  and  the  i-ights  of  others,  perml/fied, 
they  would  not  willingly  expose  without  reserve. 

Under  such  circumstances,  it  is  to  be  regretted  tliat  they  have  not  imitat- 
ed the  course  of  tlie  directors  of  1819  and  18S2,  by  waiving  their  supposed 
technical  rights,  and  inviting  an  inirestrained  examination  of  their  pro- 
ceedings. Such  conduct  could  not  but  have  gained  public  approbation ; 
and,  it  is  hunibly  conceived,  could  not  have  been  reasonably  objecte<l  to  by 
any  persons  having  business  with  the  institution.  If  such  had  been  the 
course  of  the  directors,  the  committee  hope  to  be  pardoned  for  saying  it 
was  their  purpose  to  have  endeavored  to  have  performed  the  duties  which 
had  been  enjoined,  thoroughly,  impartially,  and  with  a  rigid  adherence 
to  the  immutable  principles  of  truth  and  justice. 

Thus,  your  committee  conclude,  the  just  power  and  authority  of  the 
House  of  Representatives  have  been  set  at  naught,  defied,  and  contemned. 

Thus  the  charter  of  the  Bank  of  the  United  States  has  been  deliberately 
violated,  by  repeated  refusals  of  the  directors  of  that  corporation  to  sub- 
mit their  books  and  papers  to  the  inspection  of  this  committee. 

Thus  have  the  just  expectations  of  the  House,  and  of  their  constituents, 
been  disa])pointe(l,  and  all  means  of  obtaining  the  best  and  most  accurate 
information  concerning  the  operations  of  a  controlling  moneyed  institution, 
been  cut  off  and  denied. 

It  remains  for  the  House  and  the  country  to  decide  how  far  this  con- 
duct of  that  directory  has  been  dictated  by  their  solemn  duty,  as  declar- 
ed, to  protect  the  interests  of  others  committed  specially  to  their  protec- 
tion ;  how  far  it  conforms  to  those  principles  of  action  which  are  based 
on  conscious  integrity  and  uprightness  of  purpose,  which  defies  scrutiny, 
and  invites  investigation  ;  and  how  far  it  shall  be  received  as  a  plea  of 
guilty  to  the  high  misdemeanors  which  they  insist  have  been  charged 
against  the  corporation  of  which  they  have  the  management  and  control. 

These  grave  questions,  with  others  growing  out  of  the  transactions  and 
proceedings,  are  left  to  be  decided  by  the  House  of  Representatives. 

To  elicit  those  opinions,  the  following  resolutions  are  most  respectfully 
submitted : 

1.  Resolved^  That,  by  the  charter  of  the  Bank  of  the  United  States, 
the  right  was  expressly  reserved  to  either  House  of  Congress,  by  the  ap- 
pointment of  a  committee,  to  inspect  the  books,  and  to  examine  into  the 


[  Rep.  No.  481.  ]  13 

proceedings  of  the  said  Bank,  as  well  as  to  ascertain  if  at  any  time  it  had 
violated  its  charter. 

2.  Resolved^  That  the  resolution  of  the  House  of  Representatives, 
passed  on  the  4th  of  April,  1834,  for  the  appointment  of  a  committee, 
with  full  powers  to  make  the  investigations  embraced  in  said  resolution, 
was  in  accordance  with  the  provisions  of  the  charter  of  said  Bank  and 
the  power  of  this  House. 

3.  Resolved^  That  the  President  and  Board  of  Directors  of  the  Bank 
of  the  United  States,  by  refusing  to  submit  for  inspection  the  books  and 
papers  of  the  Bank,  as  called  for  by  the  Committee  of  the  House  of  Rep- 
resentatives, have  contemned  the  legitimate  authority  of  the  House,  as- 
serting for  themselves  powers  and  privileges  not  contemplated  by  the 
framers  of  their  charter,  nor  in  fairness  deducible  from  any  of  the  terms 
or  provisions  of  that  instrument. 

4.  Resolved^  That  either  House  of  Congress  has  the  right  to  compel 
the  production  of  any  such  books  or  papers  as  have  been  called  for  by 
their  committee,  and  also  to  compel  said  President  and  Directors  to  tes- 
tify to  such  interrogatories  as  were  necessary  to  a  full  and  perfect  under- 
starding  of  the  proceedings  of  the  Bank  at  any  period  within  the  term 
of  its  existence. 

5.  Resolved^  That  the  Speaker  of  this  House  do  issue  his  warrant  to 
the  Sergeant-at-Arms,  to  arrest  Nicholas  Biddle,  President,  Manuel 
Eyre,  Lawrence  Lewis,  Ambrose  White,  Daniel  W.  Coxe,  John  Holmes, 
Charles  Chauncey,  John  Goddard,  John  R.  Neff,  William  Piatt,  Matthew 
Newkirk,  James  C.  Fisher,  John  S.  Henry,  and  John  Sergeant,  Direc- 
tors of  the  Bank  of  the  United  States,  and  bring  them  to  the  bar  of  this 
House,  to  answer  for  theii*  contempt  of  its  lawful  authority. 


[  Rep.  No.  481.  J  15 


APPENDIX. 


A. 

Philadelphia, 
North  American  Hotels  April  23,  1844. 

The  committee  met.  Present  all  the  members.  On  motion, 
Resolved,  That  the  chairman  address  a  letter,  in  behalf  of  the  commit- 
tee, to  the  President  of  the  Bank,  enclosing  a  copy  of  the  resolution  of  the 
House  of  Representatives  under  which  the  committee  are  appointed,  inform- 
ing him  that  they  are  now  organized,  and  I'eady  to  proceed  to  business  at 
such  time  to-morrow  as  will  be  convenient  to  him. 

North  American  Hotel,  April  23,  1834. 

Sir  :  I  have  been  directed  by  the  committee  appointed  to  investigate 
the  affairs  of  the  Bank  of  the  United  States  to  enclose  to  you  the  accom- 
panying copy  of  a  resolution  of  the  House  of  Representatives  of  the  Unit- 
ed States,  and  to  inform  you  that  the  committee  will  be  prepared  to  visit 
the  Bank  of  the  United  States  to-morrow  at  any  hour  that  will  be  agree- 
able to  you  to  receive  them,  to  commence  the  discharge  of  the  duties  as- 
signed them. 

I  have  the  honor  to  be. 

Very  respectfully, 

Your  obedient  servant, 

FRANCIS  THOMAS, 
Chairman  of  the  Investigating  Committee. 
Nicholas  Biddle,  Esq. 

President  of  the  U.  8.  Bank. 

Bank  of  the  United  States, 

Jpril  23,  1834. 
Sir  :  I  have  had  the  honor  of  receiving  your  letter  of  this  day's  date, 
with  a  copy  of  the  resolution  of  the  House  of  Repiesentativcs  of  the  United 
States,  passed  on  the  4th  instant. 

I  shall  forthwith  call  a  special  meeting  of  the  Board  of  Directors  of  the 
Bank  at  9  o'clock  to-morrow  morning,  when  these  papers  shall  be  submit- 
ted to  them;  after  which,  a  communication  on  the  subject  will  be  made  to 
you.     In  the  mean  tims, 

I  have  the  honor  to  be, 

Very  respectfully,  vours, 

N.  BIDDLE,  President. 
Hon.  Francis  Thomas, 

Chairman  of  the  Com,  of  Investigation,  Philadelphia. 


16  L  Rep.  No.  48L  J 

Bank  of  the  United  States, 

Jpril  24,  1834. 

Sir  :  I  am  directed  by  the  Committee  of  the  Directors  of  the  Bank  of  the 
United  States  to  send  you  the  enclosed  copy  of  a  resoKjtion,  adopted  this 
morning  by  the  Board  at  a  special  meeting  convened  in  consequence  of 
your  communication  of  yesterday  to  the  President,  and  to  inform  you  that 
the  committee  will  immediately  direct  the  necessary  arrangements  to  be 
made  for  the  accommodation  of  the  Committee  of  the  House  of  Representa- 
tives of  the  United  States,  and  will  attend  at  the  Bank  to  receive  them  at 
31  o'clock  to-morrow  morning.    * 

I  have  the  honor  to  be, 

Your  most  obedient  servant, 

JOHN  SERGEANT,  Chairman. 
To  the  Hon.  Francis  Thomas, 

Chairman  of  the  Committee  of  Investigatioiu 


Bank  of  the  United  States, 

Jlpril  24,  1834. 

At  a  special  meeting  of  the  Board  of  Directors,  held  this  day,  the  Presi- 
dent submitted  the  letter  of  the  honorable  Francis  Thomas,  chairman  of 
the  Committee  of  Investigation,  dated  *' Philadelj)hia,  North  American 
Hotel,  April  23,  1834,"  enclosing  an  official  copy  of  a  resolution  adopted 
by  the  tlouse  of  Rej)resentatives  of  the  United  States  on  the  4th  of  April, 
1834,  together  with  his  reply  to  said  letter. 

"Wiiereupon,  it  was,  on  motion. 

Resolved,  That  a  committee  of  seven  members  of  the  Board  be  appointed 
to  receive  the  Committee  of  the  House  of  Representatives  of  the  United 
States,  and  to  offer  for  their  inspection  such  books  and  papers  of  the  Bank, 
as  may  be  necessary  to  exhibit  the  proceedings  of  the  corporation  accord- 
ing to  the  requirement  of  the  charter. 

The  following  directors  were  then  aj)pointed  to  compose  the  said  com- 
mittee : 

Messrs.  Sergeant,  Chauncey,  Coxe,  Neff,  Eyre,  Lewis,  Henry. 

Extract  from  the  minutes  : 

S.  JAUDON,  Cashier. 


Bank  op  the  United  States, 

April  26,  1834. 

The  following  resolutions  were  adopted,  and  forwarded  in  the  succeed- 
ing letters  to  the  Committee  of  Directors: 

Resolved,  That  the  proceedings,  investigations,  and  examinations  of 
this  committee,  of  the  books,  papers,  and  affairs  of  the  Bank,  shall  be 
confidential,  unless  other^vise  ordered  by  the  committee. 

Resolved,  That  the  investigations  of  this  committee  into  the  afTairs, 
management,  and  concerns  of  the  Bank  of  the  United  States,  shall  be 
conducted  without  the  presence  of  any  person  who  is  not  required  or  in- 
vited to  attend  the  examinations  of  this  committee. 


[  Rep.  No.  481.  J  IT 

Bank  of  tub  United  States, 

*ipriL  26,  1834. 

Sir  :  In  compliance  with  the  direction  of  the  Comnfiittee  of  Investiga-- 
tion,  I  have  the  honor  to  enclose  to  you  the  accompanying  resoiutiotis. 

1  am,  \ci-y  respectfully, 
Your  obe(lient  seivant, 

FRANCIS  THOMAS,  Chairman^ 
John  Sergeant,  Esq. 

Chairman  of  the  Committee  oj  Directors  of  Bank  U.  8» 

[Reply  to  the  foregoing.] 

Bank  of  the  United  States, 

Jpril  26,  1834. 

Sir  :  I  have  received  and  laid  before  tiie  Committee  of  the  Directors  of 
the  Bank  of  tiie  United  States  your  note  of  this  date,  and  the  enclosed  co- 
py of  the  lesolutions  of  the  Committee  of  the  House  of  Representatives  of 
the  United  States. 

I  am  directed  by  the  committee  to  inform  you  tliat  your  communication 
will  be  laid  before  the  Boaid,  at  a  special  meeting  to  be  convened  for  the 
purpose,  and  that  we  will  be  piepared  to  make  known  to  you  the  decision 
of  the  Board  at  your  next  meeting  on  Monday  at  1 1  o'clock. 

1  have  the  honor  to  be. 

Your  most  obedient  servant, 

JOHN  SERGEANT,  Chairman^ 
To  the  Hon.  Francis  Thomas, 

Chairman  of  the  Committee  of  the  House  of  Reps.  U.  S. 

Bank  of  the  United  States, 

April  28,  1834. 

Sir  :  In  conformity  to  my  communication  of  the  26th  instant,  your 
note  of  that  date,  and  the  resolutions  enclosed  in  it,  have  been  laid  before 
the  Board  of  Directors  of  the  Bank  of  the  United  States,  at  a  special 
meeting  convened  for  the  purpose.  I  have  now  the  honor  to  enclose  to 
you  a  copy  of  the  resolutions  adopted  by  the  Board,  and  to  be, 
With  great  respect. 

Your  most  obedient  servant, 

JOHN  SERGEANT,  Chairmaiu 
To  the  Hon.  Francis  Thomas, 

Chairman  of  the  Committee  of  the  House  of  Reps.  U.  S. 

Bank  of  the  United  States, 

April  28,  1834. 
At  a  special  meeting  of  the  Board  of  Directors,  held  this  day,  the  fol- 
lowing resolutions  were,  on  motion,  unanimously  adopted  : 

1.  Resolved^  That  the  Board  recognise  the  right  of  the  Committee  of 

the  House  of  Representatives  of  the  United  States  "  to  inspect  the  books 

and  to  examine  into  the  proceedinui-s  of  ths  Bank  of  the  United  States," 

aceordmg  to  the  provisions  of  tiie  chvrter;  and  to  enable  the  committee 

to  exercise  this  right,  according  to  the  order  of  the  House  of  Represen- 

3 


18  [  Rep.  No.  481.  J 

tatives,  the  Board  have  endeavored  to  do  all  that  could  manifest  their  re- 
spect for  the  committee,  or  contribute  to  the  convenient  peiformance  of 
its  duty,  by  offering  a  room  in  the  banking  house  for  their  accommodation, 
and  appointing  a  Committee  of  Directors  to  exhibit  the  books  and  papers 
according  to  the  requirement  of  the  charter.  But  the  Board  cannot,  con- 
sistently with  their  sense  of  duty  to  the  Bank,  and  of  the  obligations  of 
the  trust  committed  to  them,  consent  to  give  up  the  custody  and  posses- 
sion of  the  books  and  papers  of  the  Bank,  nor  to  permit  them  to  be  ex- 
amined but  in  the  presence  of  the  committee  appointed  by  the  Board. 

2.  Resolved^  That,  considering  the  nature  of  the  proceedings  which 
resulted  in  the  resolution  for  the  appointment  of  the  Committee  of  the 
House  of  Representatives  of  the  United  States  to  examine  the  liank  of 
the  United  States,  and  considering  the  very  grave  and  accusatory  nature 
of  the  inquiries  diiected  to  be  made  by  that  resolution,  as  well  in  their 
bearing  upon  the  Bank  as  upon  the  individual  citizens  entrusted  with  its 
administration,  the  Board  cannot  but  deem  it  to  be  due  to  the  demands  of 
common  justice,  that  the  institution  and  the  individuals  should  have  the 
opportunity  to  be  present  by  their  representatives  appointed  for  that  pur- 
pose, at  all  examinations  to  be  made  by  the  committee  touching  their 
character  and  conduct,  whether  the  same  be  of  books  and  papers,  or  of 
witnesses.  It  is  most  manifest  to  the  Board  that,  for  the  purpose  of  ar- 
riving at  the  truth,  examination  in  the  presence  of  the  parties  would  be 
the  natural  and  effectual  mode  of  proceeding ;  and  the  Board,  being  con- 
fident that  examinations  so  conducted  would  result  in  a  manner  creditable 
to  the  Bank,  have  promptly  and  cheerfully  acceded  to  the  amplest  in- 
vestigation. But,  if  they  are  to  understand  the  resolutions  of  the  Com- 
mittee of  the  House  of  Representatives  of  the  United  States,  of  the  26th 
instant,  as  announcing  an  intention  to  pursue  a  different  course,  they  do 
solemnly  protest  against  the  same ;  being  fully  satisfied  that  secret  and 
partial  examinations  are  unjust,  oppressive,  and  contrary  to  common  right, 
and  never  to  be  resorted  to  but  in  cases  of  necessity  ;  of  which  the  pre- 
sent cannot,  in  the  opinion  of  the  Board,  be  said  to  be  one. 

3.  Resolved,  That  the  committee,  appointed  on  the  24th  instant,  be 
instructed  to  furnish  a  certified  copy  of  the  foregoing  resolutions  to  the 
Committee  of  the  House  of  Representatives  of  the  United  States. 

Extract  from  the  minutes  : 

S.  JAUDON,  Cashier. 

Committee  Room,  April  29,  1834. 

Sir  :  I  have  the  honor  to  enclose  to  you  the  accompanying  copies  of 
resolutions  which  have  been  adopted  to  day  by  the  Committee  of  Inves- 
tigation, in  reply  to  your  communication  of  the  28th  instant. 
With  great  respect,  I  am 

Your  obedient  servant, 

FRANCIS  THOMAS,  Chairman. 
To  John  Sergeant,  Esq. 

Chairman  of  the  Committee  of  Directors. 

1 .  Resolved,  That  this  committee  duly  appreciate  the  disposition  mani- 
fested by  the  directors  of  the  Bank  of  the  United  States  in  offering  ac- 
commodations in  their  banking  house,  for  its  use,  as  contained  in  the 


f  Rep.  No.  481.  J  19 

communication  of  the  Committee  of  the  Board  of  Directors  of  the  24th 
instant ;  that  this  committee  accepted  that  offer,  under  the  belief  that  it 
would  promote  as  well  its  convenience  as  that  of  the  officers  of  the  Bank, 
and  that  the  room  thus  offered  would  be  exclusively  for  its  occupation, 
and  that  of  those  whose  attendance  might  be,  by  the  committee,  required 
or  assented  to.     And  that  the  committee  is  willing  still  so  to  consider  it. 

2.  Resolved,  That  this  committee,  charged  with  important  duties,  and 
acting  under  its  responsibility  to  the  House  of  Representatives  and  the 
laws  of  the  United  States,  claims  the  right,  to  be  exercised  at  its  discre- 
tion, to  compel  the  production  of  the  books  and  papers  of  the  Bank  for 
inspection,  and  to  inspect  the  same  in  such  mode  as  to  the  committee 
may  seem  best  calculated  to  promote  the  object  of  its  inquiry.  But  this 
committee  has  not  determined  that  it  will  become  necessary  to  perform 
that  duty  out  of  the  presence  of  those  charged  by  the  directors  to  submit 
the  same  to  the  inspection  of  the  committee. 

3.  Resolved,  That  this  committee  cannot  recognise  the  right  of  the 
"  Board  of  Directors"  to  regard  the  resolution  of  the  House  of  Repre- 
sentatives as  accusatory  in  its  character,  or  this  committee  as  charged  with 
the  duty  of  criminating  the  Bank  or  its  officers.  That,  in  the  resolutions 
of  the  26th  instant,  the  committee  intended  to  assert  its  right  to  control 
its  own  proceedings,  and  not  to  indicate  a  purpose  of  making  a  secret  and 
partial  examination,  or  of  practising  injustice  or  oppression  ;  that  the 
committee  cannot  but  regard  the  expression  of  such  an  apprehension  by 
the  Board  of  Directors,  as  unjust  to  its  members,  and  unauthorized  by 
the  resolutions. 

4.  Resolved,  That  this  committee,  actuated  by  a  sense  of  justice,  will 
unhesitatingly  afford  to  every  person  whose  character  or  conduct  may 
seem  to  be  affected  in  the  progress  of  their  investigations,  a  full  oppor^ 
tunity  of  explanation  and  defence,  but  claim  the  right  of  determining  the 
time  and  mode  of  giving  such  privilege,  and  therefore  cannot  recognise 
the  right  of  the  directors  to  prescribe  the  course  to  be  pursued  by  this 
■committee  in  making  its  examinations. 

5.  Resolved,  That  a  copy  of  the  foregoing  resolutions  be  communicat- 
ed by  the  chairman  to  the  Committee  of  the  Directors  of  the  Bank. 

[Reply  to  the  foregoing.] 

Bank  of  the  United  States, 

^pril  29,  1834. 

Sir  :  I  have  the  honoi'  to  acknowledge  your  note  of  this  date,  and  the 
copy,  enclosed  in  it,  of  the  resolutions  adopted  by  the  Committee  of  the 
House  of  Representatives  of  the  United  States.  Tliey  have  been  laid  be- 
fore tlie  Committee  of  the  Board  of  Directors,  and  1  am  directed  by  them 
to  make  the  following  reply  : 

Tlie  committee  would,  in  the  first  place,  respectfully  state  that  it  was 
not  their  intention,  nor  the  intention  of  the  Board,  to  allege  tliat  the  Com- 
mltlee  of  Investigation  was  charged  witli  the  duty  of  criminating  the  Bank, 
or  its  officers.  They  meant  only  to  say,  as  will  be  seen  by  reference  to 
the  resolution,  that  tlic  inquiries  directed  to  be  made  were  in  their  nature 
accusatory,  and  so  the  Committee  of  the  Board  are  still  obliged  to  con- 
sider tiiem. 


20  [  Rep.  No.  48l.  ] 

The  committee  would  further  respectfully  state  that  it  was  not  the  interi' 
tion  of  the  Board  to  impute  to  the  Committee  of  Investigation  '<a  purpose 
of  making  a  secret  and  partial  examination,  or  of  practising  injustice  or 
oppression."  They  simply  intended  to  assert,  what  they  helieve  to  he  be- 
yond all  dispute  or  doubt,  that  secret  and  partial  examinations  into  mat- 
ters which  have  a  bearing  upon  the  character  and  conduct  of  individuals,, 
are  unavoidably  unjust  and  oppressive. 

And,  finally,  the  committee  would  most  respectfully  disclaim  all  inten- 
tion to  control,  in  any  manner,  the  proceedings  of  the  Committee  of  Inves- 
tigation, or  to  prescribe  to  it  any  course  whatever.  The  Board  are  very 
sensible  they  have  neither  the  power  nor  the  right  to  do  so.  The  only  pur- 
pose of  the  Board  was  to  exhibit  respectfully  to  the  Committee  of  Investi- 
gation their  views  of  their  own  rights  upon  the  two  points  presented  by  the 
resolutions  of  tlie  Committee  of  Investigation  of  the  £6th  instant,  from 
which  views  they  liave  seen  no  reason  to  depart. 

The  committee  are  very  happy  to  perceive  that  as  yet  there  is  no  prac- 
tical difference  between  the  views  of  the  Board  and  those  entertained  by 
the  Committee  of  Investigation  as  to  the  mode  of  proceeding  to  be  adopted, 
inasmuch  as  the  resolutions  you  have  done  me  the  iionor  to  send  to  me,  in- 
form us  that  the  Committee  of  Investigation  have  not  come  to  any  decision, 
and  we  therefore  may  indulge  a  hope  that,  seeing  the  reasonableness  and 
justice  of  the  views  respectfully  suggested  by  the  Board,  the  Committee  of 
Investigation,  when  they  come  to  decide,  will  not  differ  from  the  Board  in 
opinion. 

I  am  directed,  in  conclusion,  respectfully  to  request,  that  when  the  Com- 
mittee of  Investigation  shall  have  decided  upon  the  mode  of  proceeding 
they  will  adopt,  they  will  be  good  enough  to  communicate  their  decision, 
that  the  Board  may  be  able  to  take  such  measures  as  it  may  seem  to  re- 
quire. In  the  mean  time  I  beg  you  to  be  assured  of  the  continued  disposi- 
tion of  the  Board  and  the  committee  to  contribute  all  that  may  be  in  their 
power  to  promote  the  accommodation  and  convenience  of  the  Committee  of 
Investigation,  as  well  as  of  the  great  respect  of,  sir, 

Your  most  obedient  servant, 

JOHN  SERGEANT,   Chairman. 
To  the  Hon.  Francis  Thomas, 

Chairman  of  the  Committee  of  the  House  of  Reps.  V.  8. 

[Reply  to  the  foregoing.] 

Committee  Room,  North  American  Hotel, 

April  30,  1834. 

Sir  :  I  have  the  honor  to  acknowledge  the  receipt  of  your  letter  of  the 
fi9th  instant,  and,  having  submitted  it  to  the  consideration  of  the  Committee 
of  Investigation,  have  been  authorized  to  present  to  you  the  following 

reply  : 

The  committee  regret  to  find  that  the  character  of  the  resolutions  here- 
tofore adopted  by  them,  and  of  which  copies  have  been  forwarded  to  you, 
is  much  misunderstood.  In  your  letter  of  the  29th,  it  is  said  "that  the 
Committee  of  Investigation  have  not  come  to  any  decision"  as  to  the 
mode  of  proceeding  to  be  adopted.  The  propriety  or  justice  of  such  an 
allegation  is  not  perceived.  The  committee  have  decided,  and  made 
known  to  you  that  decision,  that  they  have  the  po\\cr  to  compel  the  pro- 
duction of  the  books  and  papers  of  the  Bank  for  inspection  ;  that  they  have 
the  power  to  make  such  inspection  in  the  presence  of  those  only  who  may 


[  Rep.  No.  481.  J  21 

be,  by  the  committee,  required  or  invited  to  attend  ;  and  to  exclude  from 
their  room  all  persons  whatever  who,  by  their  presence,  may  in  any  de- 
gree tend  to  impede  the  progress  of  the  inspection  of  the  books  and  papers, 
or  incommode  the  members  of  the  committee  in  the  discharge  of  the  high 
duties  devolved  on  them  by  the  House  of  Representatives.  The  committee 
reserve  the  right  to  exercise  that  power  when  it  shall  become  necessary, 
and  in  the  manner  wMiich  their  sense  of  propriety,  and  desire  to  do  justice 
to  the  Bank,  and  to  the  country,  may  dictate.  They  hope  that  nothing 
will  occur,  in  the  course  of  this  scrutiny,  which  may  render  it  proper  for 
them  to  decide  upon  and  exercise  the  full  extent  of  the  powers  conferred 
on  them  by  the  House,  and  are  happy  to  learn  that  there  is  no  practical 
difference  between  the  views  of  the  Board  and  those  entertained  by  the 
committee.  They  will  be  glad  to  know  whether  they  are  authorized  to 
conclude  that  the  room  which  has  been  offered  for  their  accommodation  at 
the  banking  house,  can  be  set  apart  for  their  exclusive  use  and  occupation, 
from  10  o'clock  A.  M.  until  3  P.  M.,  during  the  continuance  of  the  commit- 
tee in  Philadelphia.  The  committee  assure  the  Committee  of  Directors 
that  it  is  their  desire  to  conduct  this  investigation  at  a  place  mutually 
convenient  to  them  and  the  officers  of  the  Bank,  and  in  a  manner  calcu- 
lated to  work  no  *<  injustice  or  oppression." 

An  answer,  consistent  with  your  earliest  convenience,  to  so  much  of  this 
communication  as  relates  to  the  occupation  of  the  room  in  the  banking 
house,  is  respectfully  requested. 

1  have  the  honor  to  be,  with  great  respect. 

Your  obedient  servant, 
FRANCIS  THOMAS,  Chairman, 

To  John  Sergeant,  Esq.    Chairman  of  the  Committee  of  Directors, 

[Reply  to  the  foregoing.  ] 

Bank  of  the  United  States, 

May  1,  1834. 

Sir  :  I  have  the  honor  to  acknowledge  your  letter  of  the  30th  of  April. 
It  has  been  laid  before  the  Committee  of  the  Board,  and  by  their  direction 
I  make  the  following  reply  : 

In  saying  that,  according  to  the  tenor  of  the  resolutions  of  the  Com- 
mittee of  Investigation  of  the  29th  ultimo,  there  was  «'as  yet  no  practical 
difference"  between  that  committee  and  the  Board,  the  Committee  of  the 
Board  still  think  the  language  they  used  was  correct  and  appropriate.  It 
is  true,  that  in  these  resolutions  the  Committee  of  Investigation  had  as- 
serted a  power  wliich  might,  perhaps,  iiavebeen  controverted.  But  it  was 
not  the  intention  of  theCommittee  of  the  Board  to  discuss  or  question  the  pow- 
ers of  the  Committee  of  Investigation,  in  the  abstract,  or  as  matter  of  opinion, 
but  simply  to  set  forth  their  own  views  of  what  they  believed  to  be  i\\e  rights 
of  the  Bank,  and  of  the  individual  citizens  entrusted  with  its  administration. 

The  "  practical  difference,"  according  to  the  view  of  the  Committee  of 
the  Board,  would  only  occur  when  there  should  be  an  actual,  as  distin- 
guished from  a  theoretical  collision,  that  is  to  say,  when  an  exertion  of 
power  attempted  by  the  Committee  of  Investigation  should  be  met  by  an 
assertion  of  right  on  the  part  of  the  Board  incompatible  with  its  prosecu- 
tion. Such  a  state  of  things  would  be  extremely  to  be  regretted.  It  must, 
jicvertheless,  be  conceded,  that  a  case  might  be  presented  in  which  the 
Committee  of  the  Board  would  be  compelled,  by  a  deep  sense  of  duty,  to 
consider  their  rights,  and  to  act  upon  their  own  views  of  them. 


22  [  Rep.  No.  481.  J 

Among  the  risks  incident  to  an  error  of  judgment  in  deciding,  they  would 
esteem  it  one  of  the  greatest,  that  their  conduct  might  hy  possibility  be  im- 
puted, however  unjustly,  to  a  want  of  (kie  respect  Tor  the  Committee  of  In- 
vestigation, or  for  the  high  source  from  which  tlieir  authority  is  derived. 

Under  the  influence  of  liiese  feelings,  and  with  a  stmng  desire  that  the 
investigation  might  be  conducted  in  a  manner  satisfactory  to  both  the  par- 
ties, the  Committee  of  the  Board  gladly  embraced  the  belief  (it  may  be 
that  their  strong  inclination  led  them  too  hastily  to  believe)  that  there  was 
«*  as  yet  no  practical  difterence."  If  in  this  they  misunderstood  the  terms 
oftlie  resolutions  of  the  Committee  of  Investigation,  they  will  be  ready  to 
receive  the  explanation  of  the  committee,  in  this  or  any  other  matter,  to 
correct  the  misunderstanding. 

They  deem  it  due,  however,  to  the  Committee  of  Investigation,  as  well 
as  to  themselves,  to  say  further,  that,  in  the  letter  of  the  Committee  of  In- 
vestigation of  the  SOth  ultimo,  there  appears  to  be  a  misapprehension  of  the 
meaning  of  the  Committee  of  the  Board  in  their  letter  of  the  29th  ultimo. 
The  Committee  oftlie  Board  did  not  say,  '<that  the  Committee  of  Investi- 
gation had  not  come  to  any  decision  as  to  the  mode  of  proceedisig  to  be 
adopted."  They  do  not  know,  nor  can  they,  without  failing  in  the  respect 
due  to  themselves,  pretend  to  know,  what  may  have  been,  or  what  may  be, 
the  decisions  of  the  Committee  of  Investigation,  except  so  far  as  the  com- 
mittee may  think  fit  to  communicate  them.  Accordingly,  their  letter  of 
the  29th  ultimo  was  founded  entirely  upon  the  resolutions  of  the  same  date, 
copies  of  which  were  transmitted  to  them  by  the  Committee  of  Investiga- 
tion, and  the  passage  above  quoted,  with  its  context,  referred  especially  to 
the  following  sentence  in  the  second  of  those  resolutions,  to  wit :  *'  But 
this  committee  has  not  determined  that  it  will  become  necessary  to  perform 
that  duty,  out  of  the  presence  of  those  charged  by  the  directors,  to  submit 
the  same  to  the  inspection  of  the  committee."  Comparing  this  with  the 
resolutionsof  the  Board  of  Directors  heretofore  handed  to  the  Committee  of 
Investigation,  it  did  appear  to  the  Committee  of  the  Board  that  there  was 
no  decision  upon  this  material  point,  and,  therefore,  that  there  was  <'  as 
yet  no  prjictical  difference." 

Acting  upon  the  same  jirinciple  that  has  hitherto  governed  the  Committee 
of  the  Board,  it  is  not  their  intention  to  question  the  statement  of  the  Com- 
mittee of  Investigation,  "that  they  have  the  power  to  compel  the  produc- 
tion of  the  books  and  papers  of  the  Bank,"  &c.  That  such  is  the  opinion 
of  the  Committee  of  Investigation,  they  have  no  doubt,  and,  as  their  opinion, 
the  Committee  of  the  Board  freely  admit  its  claim  to  high  respect.  It  is 
only  when  ceasing  to  be  opinion  merely,  it  shall  come  in  conflict  with  the 
rights  of  the  Baiik,  or  of  those  entrusted  with  its  administration,  (if  ever 
that  should  happen,)  that  the  Committee  of  the  Board  will  feel  themselves 
bound  to  examine  its  application. 

In  reply  to  that  part  of  your  letter  in  which  you  inquire  whether  the 
Committee  of  Investigation  "  are  authorized  to  conclude  that  the  room 
which  has  been  offered  for  their  accommodation  at  the  banking  house,  can 
be  conveniently  set  apart  for  their  exclusive  use  and  occupation,  from  10 
o'clock  A.  M.  until  3  P.  M.,  during  tlieir  continuance  in  Philadelphia,"  I 
am  directed  by  the  committee  to  say,  that  they  still  have,  as  they  always 
have  had,  every  disposition  to  accommodate  the  Committee  of  Investigation;^ 
and  such,  they  are  persuaded,  is  the  dispositicn,  also,  of  the  Board.  The 
committee  find  their  authority,  in  this  respect,  set  forth  in  the  resolutions 
of  the  Board,  of  the  28th  of  April,  1834,  communicated  to  the  Committee 


[  Rep.  No.  481.   J 


23 


of  Investigation  on  t!ie  same  tlay  ;  by  which  it  appears  that  the  Board 
directed  them  to  offer  to  the  Committee  of  investigation  "  a  room  in  the 
banking  house  for  its  accommodation,"  and  appointed  them  ''a  Commit- 
tee of  Directors  to  exhibit  the  hooks  and  papers,  according  to  the  require- 
ment of  the  charter."  15ut  the  Board  at  tlie  same  time  declared  that  they 
couhl  not,  ''consistefitly  with  their  sense  of  dnty  to  the  Bank,  and  of  the  ob- 
ligations of  the  trust  committed  to  them,  consent  to  give  up  the  custody  and 
possession  of  the  books  and  papers  of  the  Bank,  nor  to  permit  tiiem  to  be 
examined,  but  in  the  presence  of  tlie  committee  appointed  by  the  Board." 

The  Committee  of  the  Board  have  great  pleasui-e  in  renewing  to  the 
Committee  of  Investigation  the  offer  of  the  room  in  the  manner  pointed 
out  by  this  resolution,  and  in  tendering  any  further  service  in  their  power, 
that  can  promote  the  convenience  of  the  Committee  of  Investigation. 
I  have  the  honor  to  be,  very  respectfully, 
Your  obedient  servant, 

JOHN  SERGEANT,  Chairman. 
Hon.  Francis  Thomas,  Chairman  of  the  Committee  of  Investigation. 

■ ♦ 

B. 

Committee  Room, 
J^'orth  American  Hotel,  May  2,  18S4. 
The  following  resolutions  were  adopted  and  transmitted  to  the  Commit- 
tee of  Directors  : 

Whereas  this  committee,  sincerely  desirous  to  conduct  the  inquiries, 
examinations,  and  investigations,  which  they  have  been  required  by  the 
House  of  Re|)resentativcs  to  make,  with  fairness,  impartiality,  order,  and 
despatch,  have  learned  with  regret  that  the  directors  of  the  Bank  of  the 
United  States  have  declined  accommodating  this  committee  with  a  room 
in  their  banking  house  for  the  exciisive  use  and  occupation  of  this  com- 
mittee :  therefore, 

Resolved,  Tiiat  the  sittings  of  this  com^nittee  shall  be  held  in  their  room 
at  tlie  North  American  hotel,  in  the  city  of  Philadelphia,  until  other, 
wise  oi-derod. 

Resolved,  That  the  President  and  Directors  of  the  Bank  of  the 
United  States  be  required  to  submit  for  the  inspection  of  this  committee, 
at  their  committee  room,  at  the  North  American  hotel,  at  11  o'clock 
A.  M.  on  Saturday,  the  Sd  day  of  May  instant,  the  book  or  books  which 
contain  the  minutes  of  tlie  proceedings  of  the  Board  of  Directors  at  their 
several  sittings  on  the  1st  and  Sth  days  of  October,  in  the  year  183S,  and 
from  the  21st  day  of  April,  1834,  to  this  day  ;  also,  the  report  of  a  Com- 
mittee of  the  Board,  rejecting  a  proposition  to  transmit  a  copy  of  certain 
resolutions  adopted  on  the  said  1st  day  of  October,  1833,  to  the  Secretary 
of  the  Treasury  of  the  United  States  ;  also,  the  expense  book  of  the  Bank, 
and  the  vouchers  for  expenses  paid  or  incurred  by  said  Bank  since  the  Ist 
of  January,  1832. 

[Reply  to  the  foregoing'.] 

Bank  of  the  United  States, 

MiyS,    1834. 

At  a  special  meeting  of  the  President  and  Directors  of  the  Bank  of  the 
United  States,  held  this  day,  the  following  resolution  was  unanimously 
ado])ted  : 


24  [  Rep.  No,  481.  ] 

Resolved,  That  with  every  disposition  on  the  part  of  tiic  Board  to  con- 
form to  the  wishes  of  the  Committee  of  Investigation,  so  far  as  it  may  be 
done  without  a  violation  of  the  trust  reposed  in  tiiem,  the  Board  cannot, 
nevertheless,  consent  to  let  the  books  and  papers  of  the  Bank  go  out  of 
their  care  and  custody,  nor  out  of  tlie  banking  house,  which  is  their  proper 
place  of  deposite,  and  therefore  they  cannot  comply  with  that  part  of  the 
resolution  of  the  Committee  of  Investigation  of  the  2d  inst.,  which  re- 
quires that  certain  of  the  books  and  papers  of  the  Bank  be  sent  to  the 
North  American  hotel  this  day  at  1 1  o'clock,  believing  that  this  would 
be  contrary  to  their  duty  to  the  stockholders,  and  would  transcend  their 
lawful  power,  as  well  as  be  liable  to  be  deemed  an  abandonment  of  the 
right  to  be  present  by  themselves,  or  their  committee,  or  agents,  at  the 
examination  and  investigation,  inferring  in  all  these  respects  a  very  grave 
responsibility,  which  the  Board,  in  tlie  exercise  of  their  limited  autiiority, 
do  not  think  they  can  be  reasonably  required  to  assume. 

Jtxtract  from  the  minutes  :  S.  JAUDON,  Cashier. 


C. 

Committee  Room, 
North  American  Hotel^  May  5,  1834. 

On  motion,  the  following  resolution  and  order  were  adopted  : 

Wheieas  the  President  and  Directors  of  the  Bank  of  the  United  States 
have  refused  to  submit  certain  of  their  books  and  proceedings  to  the  in- 
spection of  this  committee,  at  the  committee  room  at  the  North  American 
hotel,  as  required  in  the  committee's  resolution  of  the  2d  instant,  but  have 
declared  that  they  are  not  aware  that  they  have  declined  to  furnish  this 
committee  a  room  in  their  banking  house,  for  its  exclusive  use  and  occupa- 
tion, as  expressed  in  their  second  resolution  of  the  Sd  instant,  and  this  com- 
mittee is  earnestly  desirous  fully  to  execute  the  resolution  of  the  House  of 
Representatives,  and  does  not  waive  the  light  to  inspect  the  books  of  the 
Bank,  as  required  :  therefore, 

Besolved^  That  this  committee  will  repair  to  the  banking  house  this  day, 
at  1  o'clock,  to  inspect  such  of  the  books  called  for  in  tlie  resolution  of 
the  28th  April,  1834,  and  such  other  books  as  they  may  require  to  be  pro- 
duced ;  and  that  the  chairman  inform  the  Committee  of  Directors  thereof. 

*'  Ordered,  That,  on  arriving  at  the  Bank,  tiie  chaiiman  be  authorized 
to  require  of  the  President,  or  other  officers,  the  production  of  tiie  books  of 
the  Bank,  for  inspection  of  this  committee." 

Thereujwn,  the  committee  i)rocceded  to  the  banking  house.  The  chair- 
ifnan  inquired  for  Mr.  Sergeant,  chairman  of  the  Committee  of  Directors, 
and  was  told  "  he  was  not  at  the  Bank."  He  then  inquired  for  the  Pre- 
sident, and  first  Cashier  of  tlie  Bank  ;  and,  on  their  appearing,  requested 
each  of  them  respectively  to  pi'oduce  to  the  committee,  for  inspection,  the 
minute  books  containing  the  proceedings  of  the  Board  of  Directors,  and  re- 
quested the  President  to  submit  for  inspection  also  the  expense  book,  and 
vouchers,  showing  the  expenditures  made  under  the  resolution  of  the  Board 
passed  November  30,  1830.  Tlie  President  and  Cashier  declined  comply- 
ing with  the  request,  alleging  lliat  they  had  no  power  to  do  so,  the  books 
being  in  the  custody  of  the  Board  of  Directors. 

The  President  then  invited  the  committee  to  his  room,  where  the 
same  conversation  was  repeated  by  the  chairman  of  the  committee,  and 
the  President  of  the  Bank.     It  was  there  proposed  by  Mr.  Ellsworth, 


i  Rep.  No.  481.  J  25 

that  the  demand  of  the  committee  should  be  reduced  to  writing,  which 
was  done  by  the  adoption  of  the  following  order  : 

"  Ordered,  That  the  President  of  the  Bank  of  the  United  States  be 
requested  and  required  to  submit  to  the  Committee  of  Investigation  the 
minute  book  containing  the  proceedings  of  the  Board  of  Directors  of  the 
Bank  of  the  United  States,  the  expense  account,  and  the  vouchers  for 
expenditure  under  a  resolution  of  the  Board  of  the  30th  November,  1830," 
and  11th  March,  1831. 

"  Ordered,  That  the  Cashier  of  the  Bank  of  the  United  States  be,  and 
he  is  hereby,  requested  and  required  to  submit,  for  the  inspection  of  the 
committee,  the  minute  books  containing  the  proceedings  of  the  Board  of 
Directors  since  the  1st  day  of  January,  1829." 

Bank  of  the  United  States, 

May  5,  1834. 
Sir  :  I  have  had  the  honor  of  receiving  from  you,  personally,  in  my 
interview  this  morning  with  the  Committee  of  Investigation,  a  resolution 
of  the  committee  in  the  following  words : 

"  Ordered,  That  the  President  of  the  Bank  of  the  United  States  be 
requested  and  required  to  submit  to  the  Committee  of  Investigation  the 
minute  book  containing  the  proceedings  of  the  Board  of  Directors  of  the 
Bank  of  the  United  States,  the  expense  account  and  vouchers  for  expen- 
diture under  a  resolution  of  the  Board  of  the  30th  of  Novemher,  1830," 
and  nth  March,  1831. 

In  answer  to  this  requisition,  I  have  the  honor  to  state  that  1  have  not 
the  custody  of,  nor  control  over,  the  books  and  papers  mentioned  in  the 
resolution.  The  general  custody  of  the  same  is  in  the  Board  of  Direc- 
i  tors  of  the  Bank,  who,  by  resolutions  of  the  24th  and  28th  ultimo, 
already  communicated  to  the  committee,  appointed  a  Committee  of  Di- 
rectors for  the  purpose  of  exhibiting  these  books  and  papers  to  the  Com- 
mittee of  Investigation,  and  declared  that  they  could  not  permit  them  to 
be  examined  except  in  the  presence  of  the  said  Committee  of  Directors. 
I  am,  therefore,  unable  to  comply  with  the  requisition  contained  in  the 
resolution.  I  have  the  honor  to  be. 

Very  respectfully,  yours, 

N.  BIDDLE,  President. 
Hon.  Francis  Thomas, 

Chairman  of  the  Committee  of  Investigation,  Philadelphia. 

Bank  of  the  United  States, 

May  5,  1834. 
Sir  :  I  have  had  the  honor  of  receiving  from  you,  personally,  in  my 
interview  this  morning  with  the  Committee  of  Investigation,  a  resolution 
of  the  said  committee  in  the  following  words : 

"  Ordered,  That  the  Cashier  of  the  Bank  of  the  United  States  be,  and  he 
is  hereby,  requested  and  required  to  submit  for  the  inspection  of  the 
committee  the  minute  books  containing  the  proceedings  of  the  Board  of 
Directors  since  the  1st  of  January,  1829." 

In  answer  to  this  requisition,  I  have  the  honor  to  state  that  I  have  not 
the  custody  of,  nor  control  over,  the  books  mentioned  in  the  resolution.  The 
general  custody  of  the  same  is  in  the  Board  of  Directors  of  the  Bank 
4 


26  [  Rep.  No.  48 1.  J 

who,  by  resolutions  of  the  24th  and  28th  ultimo,  ah-eady  communicated  to 
the  Committee  of  Investigation,  appointed  a  Committee  of  Directors  for 
the  purpose  of  exhibiting  these  books  and  papers  to  the  Committee  of 
Investigation,  and  declared  that  they  could  not  permit  them  to  be  exam- 
ined, except  in  the  presence  of  the  said  Committee  of  Directors.  I  am, 
therefore,  unable  to  comply  with  the  requisition  contained  in  the  reso- 
lution. I  have  the  honor  to  be,  sir. 

Your  obedient  servant, 

S.  JAUDON,  Cashier. 
To  the  Hon.  Francis  Thomas,  )if 

Chairman  of  the  Com,  of  Investigation  of  the  Ho.  of  Reps.  U.  S, 


D. 

North  American  Hotel,  May  7,  1834. 

The  committee  met  at  half  past  10  o'clock  A.  M.  all  the  members 
being  present. 

The  Chairman  submitted  the  following  resolution,  which  had  been 
received  from  the  Committee  of  Directors : 

Bank  of  the  United  States,  May  6,  1834. 

At  a  meeting  of  the  committee,  held  this  day,  it  was,  on  motion, 

Resolved,,  That  the  Committee  of  the  Board  will  be  prepared  to  re- 
ceive the  Committee  of  the  House  of  Representatives  of  the  United 
States  at  the  banking  house  of  the  Bank  of  the  United  States  to-morrow 
morning,  the  7th  instant,  at  11  o'clock,  then  and  there  to  proceed  in  the 
execution  of  their  duty,  according  to  the  requirement  of  the  Board  as 
contained  in  the  several  resolutions,  copies  of  which  have  heretofore  been 
communicated  to  the  Committee  of  the  House  of  Representatives  of  the 
United  States,  as  the  same  have  been  explained  to  be  understood  by  the 
committee,  to  which  understanding  they  continue. 
On  motion. 

Resolved,,  That  the  committee  will  proceed  to  examine  into  the  state- 
ments made  by  the  Government  directors  to  the  President  of  the  United 
States  and  to  Congress,  and  for  that  purpose  will,  this  day,  call  for  the 
production,  for  inspection,  of  the  minute  books,  containing  the  proceed- 
ings of  the  directors  of  the  Bank,  and  the  expense  books  and  vouchers 
for  expenses  incurred. 

After  having  adopted  this  resolution,  the  committee  proceeded  to  the 
Bank  of  the  United  States  and  occupied  the  room  assigned  for  their  use  ; 
immediately  thereafter  they  were  attended  by  the  Committee  of  Direc- 
tors, when 

Mr.  Mason,  as  one  of  the  committee,  desired  the  production  of  the  minute 
book  containing  the  proceedings  of  the  Board  of  Directors  from  30th 
September,  1832,  to  this  date  (7th  May,  1834.) 

The  Committee  of  Directors  thereupon  retired  to  deliberate  on  the  pro- 
priety of  granting  this  request,  and  soon  after  returned,  when  their  chair- 
man presented  the  following  paper  to  wit : 

The  Committee  of  the  Board  request  to  be  furnished  with  a  copy  of 
the  resolution  of  the  Committee  of  Investigation  read  to  the  Committee 
of  the  Board  this  morning. 


[  Rep,  No.  481.  ]  27 

The  following  resolution  was  then  passed  by  the  Committee  of  Inves- 
tigation : 

"  Resolved,  That  a  copy  of  the  resolution  of  this  committee  read  by 
the  chairman  of  the  Committee  of  Investigation  in  the  presence  of  the 
Committee  of  Directors  this  day,  and  requested  by  said  committee, 
be  furnished  agreeably  to  their  request,  as  matter  of  favor,  and  not  of 
right." 

Mr.  Muhlenberg  desired  that  the  books  showing  the  accounts  of  Messrs. 

,  with  the  Bank  of  the  United  States,  and  papers  explanatory  of 

such  account,  from  the  1st  day  of  January,  1832,  to  this  day,  may  be  sub- 
mitted to  the  inspection  of  the  committee. 

The  chairman  requires  that  the  expense  book  of  the  Bank,  with  the 
vouchers,  showing  the  expenses  of  the  Bank,  incurred  by  a  resolution  of 
the  30th  November,  1830,  and  the  11th  March,  1831,  be  submitted  to  the 
inspection  of  the  Committee  of  Investigation. 

The  question  being  taken  upon  them,  was  carried  in  the  afl&rmative, 
without  a  division  being  called  for. 

Notice  being  given  to  the  Committee  of  the  Board  of  Directors  that 
the  Committee  of  Investigation  were  ready  to  receive  them,  they  attend- 
ed, and  the  chairman  stated  to  Mr.  Sergeant,  chairman  of  the  Committee 
of  the  Board,  "  that  the  committee  had  directed  a  copy  of  the  resolution 
requested  by  them,  to  be  furnished  ;"  which  was  thereupon  furnished  to 
Mr.  Sergeant  by  the  secretary. 

The  chairman  also  stated  to  Mr.  Sergeant,  that  other  books  and  papers 
were  specifically  required  by  members  of  the  committee,  specifying  to 
him  those  required  by  Mr.  Muhlenberg,  Mr.  Mason,  and  himself.  The 
Committee  of  the  Board  then  retired,  and  in  a  few  minutes  returned  ;  and 
Mr.  Sergeant  stated  that  he  was  authorized  by  the  Committee  of  the 
Board  to  offer  certain  resolutions,  which  he  read,  as  follows  : 

Whereas  it  appears,  from  the  resolution  of  the  House  of  Represen- 
tatives of  the  United  States,  appointing  the  Committee  of  Investigation, 
that  two  distinct  inquiries  were  contemplated,  one  of  them  directly  to 
ascertain  whether  the  charter  had  been  violated,  and  limited  to  the  acts 
of  the  corporation,  and  the  other  so  very  general  and  indefinite,  as  to 
make  it  difficult,  i(  not  impossible,  to  say  whether  it  has  any  limits  at  all, 
either  as  to  the  matters  to  be  inquired  into,  or  the  mode  of  pursuing  the 
inquiry :  and  whereas  it  appears,  from  calls  made  by  the  Committee  of 
Investigation,  that  they  have  proposed  a  very  wide  range,  embracing, 
among  other  things,  an  extensive  examination  of  the  acts,  transactions, 
accounts,  and  letters  of  individuals,  and  thus  instituting  a  kind  of  general 
search,  which  is  the  more  objectionable,  because,  if  it  have  any  purpose 
at  all,  it  must  be  to  criminate  those  individuals,  as  well  as  the  Bank  ;  and 
if  it  have  not  this  purpose,  it  is  without  any  assignable  object,  and  would 
be  an  injurious  invasion  of  private  interests  :  and  whereas,  under  these 
circumstances,  it  is  the  duty  of  this  committee,  by  all  lawful  means,  to 
protect  the  rights  and  sacred  confidence  entrusted  to  their  keeping,  and 
to  yield  nothing,  by  consent,  which  cannot  be  legally  demanded  from 
them  :  and  whereas,  after  careful  and  anxious  consideration,  they  are  of 
opinion  that  the  inquiry  can  only  be  rightfully  extended  to  alleged  viola- 
tions of  the  charter,  and  this  inquiry  ought  to  be  conducted  according  to 
some  certain  principles  and  rules  :  therefore, 


28  [  Rep.  No.  481.  ] 

Resolved,  That  the  Committee  of  Investigation  be  respectfully  requir- 
ed, when  they  ask  for  books  and  papers,  to  state  specifically,  in  writing, 
the  purposes  for  which  they  are  proposed  to  be  inspected,  and,  if  it  be  to 
establish  a  violation  of  the  charter,  then  to  state  specifically,  in  writing, 
what  are  the  alleged  or  supposed  violations  of  charter  to  which  the  evi- 
dence is  alleged  to  be  applicable. 

Resolved,  That,  in  the  opinion  of  this  committee,  it  would  very  much 
conduce  to  the  purposes  of  justice,  as  well  as  to  the  convenience  of  all 
concerned,  if  the  Committee  of  Investigation  would  furnish  a  specifica- 
tion of  all  the  charges  intended  to  be  inquired  into,  and  proceed  with 
them  in  order  as  stated." 

Mr.  Mason  requested  the  chairman  to  ask,  "  if  the  resolution  is  to  be 
considered  specifically  as  the  answer  of  the  Bank  to  the  calls  for  the  books 
and  papers."  Which  being  done,  Mr.  Sergeant  replied,  "  not  specifically, 
but  as  relating  to  it,  and  indicative  of  the  mode  of  proceeding  deemed 
right  by  the  Bank." 

The  chairman  having  requested  a  specific  answer,  the  Committee  of 
the  Board  retired,  and  returned  in  twenty  minutes,  and  Mr.  Sergeant 
stated  that  he  was  instructed  to  give  the  answer  of  the  committee  in  the 
form  of  a  resolution,  which  he  then  read,  as  follows  : 

"  Resolved,  That  the  Committee  of  the  Board  are  of  opinion  that  the 
resolutions  submitted  by  them  to  the  Committee  of  Investigation  this 
morning,  are  preliminary  to  answers  to  specific  calls,  and  respectfully 
submitted  for  decision  before  any  specific  answers  are  made." 

Whereupon,  the  following  resolutions  were  adopted,  and  handed  to  the 
Committee  of  Directors : 

Whereas  this  committee  have,  by  resolutions  severally  communicated 
to  the  President  and  Directors  of  the  Bank  of  the  United  States,  declared, 
that  in  discharging  the  duties  confided  to  them  by  the  House  of  Representa- 
tives, they  claimed,  on  their  responsibility  to  that  House  and  to  their  con- 
stituents, to  regulate  their  proceedings,  to  judge  of  the  extent  of  their 
powers  and  duties  for  themselves ;  that  they  were  not  charged  with  the 
duty  of  criminating  the  Bank,  its  directors,  or  others,  but  simply  to  in- 
quire, amongst  other  things,  whether  such  prosecution,  in  legal  form,  shall 
be  instituted,  and  that,  in  so  doing,  they  would  afford  to  every  person,  who 
might  appear  to  be  implicated  by  their  examinations,  full  and  fair  oppor- 
tunity of  explanation  and  defence  : 

1.  Resolved,  therefore,  That,  in  performing  the  duty  of  "  inspecting  the 
books  and  examining  into  the  proceedings  of  the  Bank,"  the  committee 
cannot  rightfully  be  '  required,'  and,  from  the  nature  of  their  duties, 
cannot  comply  with  a  request  to  state  specifically,  in  writing,  the  purposes 
for  which  they  are  proposed  to  be  inspected. 

2.  Resolved,  That  the  committee  cannot  comply  with  a  request  or  requi- 
sition to  specify  what  are  the  supposed  violations  of  charter,  because  they 
are  not  conducting  a  prosecution,  but  simply  inquiring  whether  one  shall 
be  instituted. 

3.  Resolved,  That  the  Committee  of  Directors  be,  and  they  hereby  are, 
requested  and  required  to  submit  for  the  inspection  of  this  committee 
the  credit  books  and  pay  lists  of  the  Bank,  to  enable  this  committee  to 
ascertain  "  whether  it  has  used  its  corporatQ  powers  or  money  to  control 
the  press,  to  interfere  in  politics,  or  influence  elections." 


[  Rep.  No.  481.  ]  29 

4.  Resolved^  That  the  Committee  of  Directors  be  requested  and  required 
to  submit  for  the  inspection  of  this  committee  the  minute  books  of  the 
Bank,  together  with  the  correspondence,  journals,  and  other  memoran- 
dums of  the  proceedings  of  the  Committeesof  Exchange,  on  the  state  of  the 
Bank,  and  on  the  Oifices,  that  this  committee  may  be  enabled  to  ascertain 
whether  the  Bank  "  has  had  any  agency,  through  its  management  or  mo- 
ney, in  producing  the  present  pressure." 

5.  Resolved  J  That  the  Committee  of  Directors  be,  and  they  are  hereby,  re- 
quested and  required  to  submit  for  the  inspection  of  this  committee  the 
minute  books  containing  the  proceedings  of  the  Board  of  Directors,  to- 
gether with  the  correspondence  journals  of  the  President  of  the  Bank,  the 
Exchange  Committee,  the  Committee  on  the  state  of  the  Bank,  and  the 
Committee  on  the  Offices,  that  this  committee  may  be  enabled  to  judge 
whether  the  Board  of  Directors  have  violated  the  charter  of  the  Bank, 
by  authorizing,  permitting,  or  sanctioning  the  exercise  of  improper  and 
illegal  powers  by  those  committees,  or  by  the  President  of  the  Bank. 

Notice  being  given  to  the  Committee  of  the  Board,  they  attended,  and 
certified  copies  of  the  three  last  mentioned  resolutions,  and  of  Mr.  Ma- 
son's resolution,  being  furnished  to  them  by  the  secretary,  they  requested 
time  to  answer  them,  and  retired. 

[Reply  to  the  foregoing  request  and  resolution.] 

Resolved,  That  after  full  deliberation,  and  with  every  feeling  of  re- 
spect for  the  House  of  Representatives,  and  for  the  committee  appointed 
by  them,  and  with  a  firm  conviction  that  they  have  nothing  to  fear  from 
scrutiny  of  the  affairs  of  the  Bank,  however  severe,  the  Committee  of 
the  Board  are  constrained  to  adhere  to  the  resolutions  yesterday  handed 
to  the  Committee  of  Investigation,  and  to  decline  complying  with  the 
calls  heretofore  made  upon  them,  in  any  other  manner  than  is  therein 
laid  down,  believing  this  to  be  their  duty,  from  which  they  are  not  at 
liberty  to  depart. 

The  attention  of  the  Board  of  Directors  having  been  specially  called  to 
the  foregoing  proceedings  at  the  Bank  on  May  7,  1834,  the  following 
resolution  was  passed,  and  forwarded  to  the  Committee  of  Investigation  : 

Ba>k  of  the  United  States, 

May  9,  1834. 

At  a  meeting  of  the  Board  of  Directors  held  this  day,  the  foMowing  re- 
solutions were  unanimously  adopted  : 

Resolved,  That  the  Board,  having  Iieai'd  the  report  of  the  committee  ap- 
pointed on  the  £4th  ult.  upon  the  matters  referred  to  them  tliis  mornitig,  do 
fully  approve  and  sanction  the  resolutions  adoj)ted  by  the  committee  on  the 
7th  and  8th  instants,  and  presented  by  tliem  to  the  Committee  of  Investiga- 
tion. 


E. 

The  following  resolution  was  adopted  by  the  Committee  of  Investi- 
gation during  their  sittings  in  Philadelphia,  and  transmitted  to  the  Board 
of  Directors  through  their  committee,  to  wit : 

Resolved,  That  the  President  of  the  Bank  of  the  United  States  be  re* 


30  [  Rep.  No.  481.  J 

quested  to  furnish  this  committee  with  a  list  of  the  books  of  the  Bank, 
with  a  description  of  the  purposes  for  which  each  is  designed,  and  the 
name  of  the  clerk  to  whose  care  and  custody  they  are  respectively  com- 
mitted ;  and,  also,  a  copy  of  the  by-laws  now  in  force  in  the  Bank,  and 
of  the  by-laws  in  force  prior  to  the  first  Monday  in  December,  1829. 

Bank  of  the  United  States, 

.ipril  25,  1834. 
Sir  :  x  liave  the  lionor  to  send  to  you,  agi'ccably  to  your  request,  «  a 
list  of  the  books  of  the  Bank,  \vith  an  explanation  of  the  purposes  for 
whicli  each  is  designed." 

In  regard  to  the  remaining  })art  of  (he  inquiry,  "  the  names  of  the  clerks 
to  whose  custody  tiiey  are  respectively  committed,"  I  am  instructed  by  the 
Committee  of  ihc  Board  to  say  that  tiicsc  books  arc  not  understood  to  be  in 
the  cai-e  and  custody  of  the  clerks,  but  in  Ihe  general  custody  of  the  Board. 
I'he  names  of  the  clerks  who  make  entries  in  them,  and  for  tliat  purpose 
have  possession  of  them  during  the  hours  of  business,  arc  added  to  the  list 
of  the  books. 

I  also  enclose  '*  a  cojjy  of  the  by-laws  now  in  foi-ce  in  the  Bank,  and  the 
by-laws  in  foice  prior  to  the  first  Monihiy  of  December,  1829.*' 
I  have  the  honor  to  be, 

Ycry  respectlullv,  yours, 

JOHN  'SKRGE ANT,  Chairman. 
Hon.  Francis  Thomas, 

Chairman  of  the  Committee  of  Investigation,  Philadelphia. 

The  following  resolutions  were  adopted  by  the  Committee  of  Investi- 
gation, at  diff'erent  times  during  their  sittings  in  Philadelphia,  and  trans- 
mitted to  the  Board  of  Directors  through  this  committee,  to  wit: 

Resolved,  That  tl>e  President  and  Directors  of  the  Baidv  of  tlie  United 
States  be  requested  to  furnish  this  committee  with  the  following  statements  : 

1.  A  statement  showing  the  amount  of  public  money  on  deposite  in  the 
Bank  and  its  braijches,  respectively,  to  the  credit  of  tlie  Treasurer,  and 
other  ofticers  of  the  United  States,  in  each  month,  from  April,  1852,  to 
April,  1834,  inclusive. 

2.  A  statement  showing  the  number  of  votes  given  at  each  election  for 
directoi's  of  the  parent  Bank  since  December,  1832;  showing,  also,  what 
number  of  votes  were  given  in  person  by  the  stockholders,  and  what  num- 
ler  by  jjroxy,  and  by  whom  such  proxies  were  held,  and  a  list  of  the 
directors  elected  at  each  election. 

3.  A  statement  showing  the  amount  of  gold  and  silver  coin  which  has 
been  purcliased  or  sold  by  the  Bank  ;  the  names  of  persons  from  whom  such 
purchases,  and  to  whom  such  sales,  have  been  made,  and  the  gross  amount 
of  profit  derived  by  the  Bank  therefrom  ;  and,  also,  showing  the  most  usual 
and  highest  prices  received  for  each  of  the  following  descriptions  of  coin, 
and  whether  the  same  have  been  sold  in  the  United  States,  or  in  foreign 
countries : 

1.  Gold  eagles,  halves  and  quarters,  of  United  States  coinage. 

2.  Silver  dollars,  halves  and  quarters,  of  the  same  coinage. 

3.  Spanish  doubloons  and  their  parts. 

4.  Patriot  do  do. 

5.  Spanish  milled,  Mexican,  Peruvian,  and  Chilian  dollars. 


[  Rep.  No.  481.  ]  31 


6.  Englisli  guineas  and  sovereigns. 

7.  Louis  d'orsof  France  aiul  five  franc  pieces. 

8.  Half  Joes  of  Portugal  and  Brazil. 

4.  A  statement  showing  the  amount  of  gold  or  silver  coin  which  has  been 
drawn  by  order  of  the  parent  Baidv  from  each  of  its  Western,  Southwest- 
ern, and  Southern  olliccs ;  ain!  also  the  amount  of  specie  which  has  been 
sent  thereto  by  the  same  authority. 

5.  A  statement  showing  the  namesofall  persons,  ali)habetirally  arranged, 
who  wei'C  intlcbted  to  tlic  parent  Bank  on  the  first  Monday  of  Decembei', 
1829  ;  showing,  also,  whether,  by  authority  of  the  Board  of  Directors, 
tlie  Exchange  Committee,  the  President,  or  other  officer  of  the  Bank,  each 
loan  was  made;  tl»e  residence  of  each  borrower  or  debtor  ;  the  terms  on 
which  eacli  loan  v^as  made;  and  whether  each  debtor  was  liable  as  drawer 

or  endorser,  principal  or  SCCiU'it^'. 

6.  Statements,  similar  to  tlie  foregoing,  of  tiic  debts  due  to  tlic  parent 
Bank  on  the  1st  day  of  June,  1832,  and  on  thc28tii  day  of  Aj)ril,  1834. 

7.  A  statement  sliowing  tiie  amount  of  foi-cigrj  or  domestic  gold  or  silver 
coin,  or  bullion,  whicii  !uis  been  exijorted  by  the  Bank  for  cacii  and  every 
mojit!i  since  the  1st  of  March,  1832,  and  tlie  profits  derived  by  the  Bank 
from  such  exportation  ;  and,  also,  the  amount  of  S])ocie  impoi-ted  by  the 
Bank  within  the  same  pei'iod. 

8.  A  statement  showing  the  capital  of  eacli  of  the  offices  or  branches  of 
the  Bank,  with  a  tabular  statement  showing  the  liabilities  and  resources 
of  each  bi-atich  or  office,  on  the  1st  of  each  and  every  month,  from  March, 
1832,  to  April,  1834,  inclusive. 

9.  A  statement  showing  tiie  amount  of  domestic  hills  possessed  by  each 
of  the  branches  and  offices  of  the  Bank,  on  tlie  first  day  of  each  month 
from  March,  1832,  to  April,  1834,  inclusive;  showing,  also,  the  jilaces  at 
which  the  same  were  purchased,  and  the  time  when,  and  places  where,  the 
same  were  or  will  be  payable. 

10.  A  statement  showing  the  amount  of  money  wbicli  has  been  at  any 
time  loaned  by  the  Bank,  on  pledges  of  stock  as  collateral  security,  the 
kind  and  descriptitm  of  stocks  thus  jiledgcd,  the  date  and  terms  of  each 
loan,  the  names  of  the  boi-rowcrs,  with  the  amount  loaned  to  each,  and  the 
amount  now  due  by  each  borr.)wer  respectively. 

11.  A  statement  showing  the  names  of  the  stockholders  of  the  Bank, 
with  the  number  of  shares  held  by  each  ;  their  official  stations,  if  in  office; 
and  showing,  also,  the  aggregate  luiniber  and  value  of  the  shares  held  by 
foreigners  and  citizens  of  the  United  States,  res|)ectively. 

12.  Resolved,  Thsit  the  President,  Directors,  and  Company  of  the  Bank  of 
the  United  States  be  requested  to  furnish  this  eommitteo  with  a  list  of  the 
names  and  residence  of  all  persons  who  surrendered  their  certificates 
of  three  per  cent,  stock,  and  received  a  credit  on  the  books  of  the  Bank 
therefor ;  the  time  when,  and  amount  placed  at  the  credit  of  each ;  the 
aggregate  amount  thus  surrendered,  and  the  dates  at  which  the  same 
were  paid  by  the  Bank  to  the  proprietors  ;  the  names  of  the  agents  em- 
ployed by  the  Bank  in  any  negotiations  or  arrangements  to  postpone  the 
payment  of  said  stocks  ;  the  compensation  allowed  to  each  agent,  and  the 
amount  of  expenses  allowed  to  each  in  addition  to  compensation. 

13.  Resolved.,  That  the  President,  Directors,  and  Company  of  the  Bank 
<oi  the  United  States  be  requested  to  furnish  this  committee  with  the  en- 


32  [  Rep.  No.  481.  ] 

tire  correspondence  between  said  Bank,  or  any  of  its  agents,  and  the 
Secretary  of  the  Treasury,  and  Baring,  Brothers,  and  Company,  and  Hot- 
tinguer  and  Company,  touching  the  bill  of  exchange  drawn  by  the  Trea- 
sury Department  on  the  French  Government  on  the  7th  of  June, 
1833  ;  also,  copies  of  all  accounts  and  accounts  current  with  said  Bank, 
from  either  Baring,  Brothers,  and  Company,  or  Hottinguer  and  Compa- 
ny, between  the  1st  of  January  and  July,  1833. 

14.  Resolved,  That  the  President,  Directors,  and  Company  of  the  Bank 
of  the  United  States  be  requested  to  furnish  the  committee  with  a  statement 
showing  the  names  of  all  special  agents  employed  by  the  Bank  since  its 
establishment,  the  object  of  such  agencies,  the  compensation  allowed  to 
each,  the  services  rendered  by  each,  the  duration  of  such  agencies,  the 
expenses  allowed  to  each,  in  addition  to  compensation,  and  whether 
either  of  such  agents  was  either  members  of  Congress,  of  State  Legisla- 
tures, or  officers  of  the  General  Government  at  the  time  of  employment. 

15.  Resolved,  That  the  Piesident,  Directors,  and  Company  of  the  Bank 
be  requested  to  furnish  the  committee  with  a  statement,  showing  tlie  whole 
numher  of  slaves  which  it  has  taken  since  its  cstablisliment,  by  purchase  or 
in  payment  of  debts,  the  time  when,  and  from  whom,  each  was  taken,  tlie 
amount  of  debt  tlicy  were  taken  to  pay  or  secure,  and  whether  such  debts 
were  under  protest  when  such  slaves  were  taken,  the  names  of  all  parties 
obligated  upon  each  debt,  and  whether  such  slaves  have  been  sold  by  the 
Bank,  and  if  so,  the  amount  obtained  for  each,  the  deficiency  or  excess 
in  each  case  of  sale  in  respect  to  the  debt  on  which  such  slaves  were  taken, 
designating  the  branches  at  which  sucli  slaves  \^ere  taken  or  sold. 

16.  Resolved,  Tliat  the  President,  Directors,  and  Company  of  the  Bank 
of  the  United  States  be  requested  to  furnish  the  committee  with  copies  of 
all  correspondence  between  the  President  of  the  Bank  or  any  of  its  officer 
with  members  of  Congress,  or  of  unanswered  letters  received  from  any 
one  of  them  since  the  1st  day  of  July,  1832,  to  uching  the  renewal  of  the 
charter  of  the  Bank,  the  removal  or  restoration  of  tlie  public  deposites, 
or  touching  the   business  transactions  of  such  members  with  said  Bank. 

17.  Resolved,  That  the  President,  Directors,  and  Company  of  the 
Bank  of  the  United  States  be  requested  to  furnish  this  committee  with 
copies  of  all  legal  opinions  which  it  may  have  obtained  from  counsel, 
touching  the  right  of  the  Bank  to  hold  the  public  moneys  in  defiance  of 
the  powers  or  orders  of  the  Secretary  of  the  Treasury  to  remove  the 
same  ;  also,  copies  of  all  the  opinions  obtained  from  counsel  in  relation 
to  delivering  over,  as  directed  by  the  proper  officer,  the  funds,  books, 
and  papers,  provided  for  paying  revolutionary  pensions,  or  annuities, 
under  the  act  of  7th  June,  1832. 

18.  Resolved,  That  the  President,  Directors,  and  Company  of  the  Bank 
of  the  United  States  be  requested  to  furnish  this  committee  with  a  state- 
ment of  their  expense  account  since  the  1st  of  January,  1829,  up  to 
the  date  this  resolution  is  complied  with  ;  showing]  the  items  and  total 
for  each  half  year,  corresponding  with  the  entries  on  their  expense 
book,  and  showing  the  names  and  residence  of  all  persons  to  whom 
any  payments  have  been  made  ;  the  amount  to  each,  and  the  time  and 
consideration  of  such  payments,  with  copies  of  all  vouchers  taken  for 
such  payments. 

19.  Resolved,  That  the  President,  Directors,  nnd  Company  of  the  Bank 
of  the  United  States  be  requested  to  furnish  this  committee  with  the 
particular  items,  and  the  aggregate  of  all  fees  and  compensation  paid 


[  Rep.  No.  481.  ]  33 

^3uring  each  year  to  attorneys,  counsellors,  or  lawyers,  since  the  establish- 
ment of  the  Bank  ;  stating  the  amount  paid  to  each  person  employed, 
together  with  their  residence,  the  times  when  the  payments  were 
made,  and  the  particular  services  rendered  for  each  charge  paid  ;  also, 
whether  the  same  has  been  paid  at  the  parent  Bank  or  branches,  and 
at  which,  designating  them  ;  also,  of  all  sums  paid  as  a  general  or  annual 
fee  or  salary  to  counsellors  for  the  Bank,  specifying  the  names  of  such 
persons,  the  amounts,  and  times,  and  places  of  payment ;  and,  also, 
whether  such  sums  were  paid  by  the  order  in  each  case  of  the  Board  of 
Directors,  or  how  otherwise  paid  ;  designating  such  sums  as  have  been 
paid  in  cash,  and  such  as  may  have  been  passed  to  the  credit  of  such 
persons  or  others,  in  payment  of  any  debt  or  debts  due  to  said  Bank. 

20.  Resolved,  That  the  President,  Directors,  and  Company  of  the  Bank 
of  the  United  States,  be  requested  to  furnish  this  committee  with  the 
entire  correspondence  between  it  and  the  New  York  branch  since  the 
1st  day   of  January,  1833. 

21.  Resolved,  That  the  President,  Directors,  and  Company,  of  the  Bank 
of  the  United  States,  be  requested  to  furnish  this  committee  with  a  detail- 
ed statement  of  all  loans  made  since  the  1st  of  January,  1829,  to  individ- 
uals who  the)i  were,  who  have  been  since,  or  who  now  are,  members  of 
Congress  ;  stating  the  amount  of  each  loan,  when  the  same  was  made,  for 
"Nvhat  term  the  secui-ity  was  given,  and  the  time  when  such  security  was 
received  ;  and  also  the  security  which  the  Bank  now  holds,  and  the  amount 
now  owing  by  any  and  each  of  such  borrowers,  or  other  persons  for  the 
benefit  of  such  borrowers,  at  the  Bank  or  either  of  the  branches,  and  sta- 
ting, also,  the  particulars  of  any  such  loans  which  have  been  protested,  or 
which  aie  now  under  protest,  and  the  names  of  the  parties  to  any  such  debts'; 
also  the  names  (if  any)  of  persons  whose  notes  have  been  renewed  after  the 
Fame  had  become  due,  and  not  protested  or  renewed,  with  the  names  of  in- 
ilividuals,  parties  to  said  renewals,  whose  notes  were  under  protest  at  tlje 
times  si:ch  renewals  were  made ;  and  also  whether  such  loans  in  each  case 
were  made  by  the  directors,   or  otherwise,  and  by  what  authoiity. 

22.  Resolved,  That  the  President,  Directors,  and  Company  of  the  Bank 
of  the  United  States,  be  requested  to  furnish  this  committee  with  a  state- 
ment in  detail  of  all  overdrafts  which  have  been  made  on  said  Bank  or 
l)ranches  siiice  1829,  by  members  of  Congress  or  State  Legislatures,  the 
time  such  overdrafts  were  made  ;  and,  also,  by  printers,  editors,  and 
publishers  of  newspapers  or  periodicals ;  stating  the  time  and  amount  of 

each  overdraft,  by  whom  made,  the  period  such  overdrafts  remained 
unpaid,  and  the  time  and  manner  such  drafts  have  been  paid  or  secured. 

23.  Resolved,  That  the  President,  Directors, and  Company  of  the  Bank  of 
the  United  States  be  requested  to  furnish  the  committee  with  a  statement 
of  the  outstanding  certificates  of  the  public  debt,  for  which  the  Bank 
holds  the  money  on  deposite  to  redeem,  under  the  designation  of  "  re- 
demption of  public  debt ;"  showing  the  names  and  residence  of  the  hold- 
ers of  such  outstanding  certificates  ;  the  amount  of  each,  and  the  aggregate 
of  the  whole  ;  the  class  of  loans  to  which  they  belong  respectively,  and 
•whether  the  Bank  has  paid  interest  to  any  of  the  holders  of  the  same 
since  they  fell  due  and  payable. 

24.  Resolved,  Tl»at  llie  President  and  Directors  of  the  Bank  be  re- 
quested to  furnish  this  committee  with  a  statement  sliowiug  the  amount  of 
ilebt  directly  or  indirectly  due  or  owing  to  s.iid  Bank  by  and 

5 


34  [  Rep.  No.  48i.  ] 

,  or  either  or  both,  jointly  or  severally,  or  by  any  other  person  fop 
their  benefit,  or  the  benefit  of  either  of  them  ;  showing  also  the  amount  of 
debt  thus  due  at  any  time  heretofore,  with  a  statement  of  all  payments  on 
their  account,  with  the  dates  thereof,  since  the  1st  of  April,  1832,  with  co- 
pies of  any'deed  or  deeds  of  trust,  arrangement,  coritract,  or  agreement,  or 
assignment,  entered  into  between  said  Bank  and  them,  or  either  of  them, 
or  others  for  the  benefit  of  said  Bank,  or  in  which  it  may  have  a  beneficial 
interest ;  also  copies  of  the  entire  correspondence  between  said  Bank,  or 
any  officer  thereof,  and  the  said and  — — — ,  or  either  of  them  ;  al- 
so a  copy  of  any  consent  wh.ich  the  Bank  may  have  given,  so  far  as  con- 
cerned, permitting to  establish  and  publish  a  nivvspaper  in  the  city 

of ,  notwithstanding  his  contract  with to  the  contrary. 

25.  Hesolved,  That  the  President  and  Directors  of  the  Bank  be  re- 
quested to  furnish  this  committee  with  a  statement  of  the  amount  of  debt 
directly  or  indirectly  due  or  oving  to  the  said  Bank,  or  any  of  its  branch- 
es, from ,  editor  of  the ,  or  any  other  person  for  his  account  or 

benefit ;  stating  the  maximum  of  his  loans  or  debt  at  any  time  since  he  be- 
came indebted,  the  times  and  places  when  and  where  contracted,  and  the 
time  and  manner  in  which  the  same  has  been  paid,  reduced,  or  secured, 
and  with  copies  of  its  entire  correspondence  with  the  said . 

26.  Resolved,  That  the  President  and  Directors  of  the  Bank  be  re- 
quested to  furnish  this  committee  with  a  statement,  showing  the  details  of 

the  debt  which  has,  at  any  time,  been  owing  by ,  publisher 

of  the ,  since  March,  1832,  and  showing  how  the  same  has 

been  settled,  secured,  or  arranged ;  also,  copies  of  all  proceedings  of 
the  Board  of  Directors,  or  any  committee  or  oflicer  of  said  Bank,  in  re- 
lation to  said  debt,  since  that  period  ^  showing  also  the  amount  of  loss,  \i 
any,  it  has,  or  may  probably,  sustain  by  him. 

[Reply  of  the  Board  to  the  foregoing  resolutions.] 

Bank  of  the  United  States, 

May  3,  1834. 

At  a  special  meeting  of  the  Board,  held  this  day,  the  following  resolu- 
tion was,  on  motion,  unanimously  adopted  : 

Resolved,  That  the  Board  do  not  feel  themselves  at  liberty  to  com- 
ply with  the  requirement  of  the  resolutions  of  the  Committee  of  Investi- 
gation of  the  29th  ult.  and  1st  inst.,  and  do  not  think  they  are  bound  to 
do  so,  inasmuch  as,  in  respect  to  a  part  of  the  papers  called  for,  the  effect 
would  be  the  same  as  the  surrender  of  their  books  and  papers  to  a  secret 
and  ex  parte  examination,  which  they  have  already  refused  to  consent  to; 
and  as  to  the  other  part,  they  relate  to  matters  over  which  the  Board 
have  no  control,  and  if  they  could  overcome  these  objections,  and  had 
power  over  all  the  papers,  still  it  would  be  impossible  for  them  to  com- 
ply within  any  reasonable  time,  having  ascertained,  by  a  careful  exami- 
nation, that  the  copies  and  statements  called  for  by  the  resolutions  of  the 
29th  ult.  alone  would  require  the  uninterrupted  labor  of  two  clerks  for 
at  least  ten  months  to  make  them  out,  and  that  the  remaining  resolutions, 
so  far  as  they  concern  matters  not  beyond  the  reach  of  the  Board,  would 
require  a  great  additional  time,  which  they  are  not  able  exactly  to  com- 
pute without  causing  what  they  fear  w'ould  be  an  inconvenient  delay  to 
the  Committee  of  Investigation;  and  they  take   it  for  granted  that  it. 


[  Rep.  No.  481.  ]  35 

would  no  more  comport  with  the  views  of  the  Committee  of  Investiga- 
tion to  wait  till  so  distant  a  period,  than  it  would  with  the  rights  of  the 
Bank  to  have  such  a  burden  imposed  upon  it. 
Extract  from  the  minutes  : 

S.  JAUDON,  Cashier. 


F. 
The  following  resolution  was  adopted  by  the  Committee  of  Investiga- 
tion : 

Committee  Room,  May  9,  1834. 

Resolved,  That  the  chairman  of  this  committee,  in  pursuance  of  tiie 
authority  of  the  House  of  Representatives  of  llie  United  States,  and  the 
terms  atid  rules  regulating  its  proceedings,  do  issue  a  suhpcena  duces  tecum 
to  be  directed  to  Nicholas  Biddle,  President,  Manuel  Eyre,  Matthew  Ncw- 
kirk,  John  Sergeant,  Charles  Chauncey,  John  S.  Henry,  John  R.  Neff, 
Ambrose  White,  Daniel  W.  Coxe,  John  Goddard,  James  C.  Fisher,  Law- 
rence Lewis,  John  Holmes,  and  William  Piatt,  directors  of  the  Bank  of 
the  United  States,  to  be  and  appear  before  this  committee,  at  their  com- 
mittee room  in  the  North  American  hotel,  in  the  city  of  Pliiladelphia,  at 
12  o'clock  at  noon,  on  Saturday,  the  10th  instant,  and  to  bring  with 
them  the  credit  books  of  said  Bank,  showing  the  indebtedness  of  individuals 
to  said  Bank  at  the  present  time. 

By  authority  of  the  House  of  Representatives  of  the  United  States. 

To  Benjamin  S.  Bonsall, 

Marshal  of  the  Eastern  District  of  Pennsylvania  : 

You  are  hereby  commanded  to  summon  Nicholas  Biddle,  President, 
Emanuel  Eyre,  Matthew  Newkirk,  John  Sergeant,  Charles  Chauncey, 
John  S.  Henry,  John  R.  Neff,  Ambrose  White,  Daniel  W.  Coxe,  John 
Goddard,  James  C.  Fisher,  Lawrence  Lewis,  John  Holmes,  and  William 
Piatt,  directors  of  the  Bank  of  the  United  States,  to  be  and  appear  before 
the  Committee  of  the  House  of  Representatives  of  the  United  States,  ap- 
pointed on  the  4th  day  of  April,  1834,  "  for  the  purpose  of  ascertaining, 
as  far  as  practicable,  the  cause  of  the  commercial  embarrassment  and  dis- 
tress complained  of  by  numerous  citizens  of  the  United  States,  in  sundry 
memorials  which  have  been  presented  to  Congress  at  the  present  session, 
and  of  inquiring  whether  the  charter  of  the  Bank  of  the  United  States 
has  been  violated,  and  also  what  corruptions  and  abuses  have  existed  in 
its  management;  whether  it  has  used  its  corporate  power,  or  money,  to 
control  the  press,  to  interfere  in  politics,  or  influence  elections  ;  and  whether 
it  has  had  any  agency,  through  its  management  or  money,  in  producing 
the  existing  pressure  ;  also,  to  inspect  the  books  and  examine  into  the 
proceedings  of  the  said  Bank,  and  whether  the  provisions  of  the  charter 
have  been  violated  or  not ;  and  what  abuses,  corruptions,  or  malpractices 
have  existed  in  the  management  of  said  Bank  ;  and  also  to  examine  into 
the  affairs  of  the  said  Bank  and  branches ;  and  further,  to  visit  the  prin- 
cipal Bank,  or  any  of  its  branches,  for  the  purpose  of  inspecting  the  books, 
correspondence,  accounts,  and  other  papers  connected  with  its  manage- 
ment or  business,"  in  their  chamber  in  the  North  American  hotel,  in  the 


d6  [  Rep.  No.  481.  ] 

city  of  Philadelphia,  and  to  bring  with  them  the  credit  books  of  said  Bank, 
showing  the  indebtedness  of  individuals  to  said  Bank  on  the  tenth  day  ot 
May  instant,  at  the  hour  of  12  o'clock,  M.  then  and  there  to  testify  touching 
the  matters  of  said  inquiry,  and  to  submit  said  books  to  said  committee 
for  inspection. 

Herein  fail  not,  and  make  return  of  this  summons. 

Witness  the  seal  of  the  House  of  Representatives  of  the  United 

J.  •,  States,  and  the  signature  of  the  Hon.  Francis  Thomas,  chairman 

*•  'J  of  the  said  committee,  at  the  city  of  Philadelphia,  this  ninth  day 

of  May,  in  the  year  one  thousand  eight  hundred  and  thirty-four. 

FRANCIS  THOMAS. 
Attest:  W.  S.  FRANKLIN, 

Clerk  House  of  Representatives  U.  S. 

Committee  Room,  May  10,  1834,  10  o^clock  A.  M. 

The  following  resolution  was,  on  motion,  adopted  : 

Hesolved,  That  tliis  committee  will  proceed  to  examine  Nicholas  Biddle, 
Esquire,  President  of  the  Bank  of  the  United  States,  touching  his  having 
acted  under  the  resolutions  of  tiie  Board  of  Directors  of  tlie  30th  Novem- 
ber, 1830,  and  the  11th  March,  1831  ,♦  and  as  to  what  amount  of  money 
lie  has  expended  under  those  resolutions  since  the  30th  day  of  Novemher, 
1833,  to  this  day. 

At  12  o'clock  at  noon,  Nicholas  Biddle,  Esquire,  and  Messrs.  Manuel 
Eyre,  Matthew  Newkirk,  John  Sergeant,  Charles  Chauncey,  John  S. 
Henry,  John  R.  Neff,  Ambrose  AVliite,  Daniel  W.  Coxe,  John  Goddard, 
James  C.  Fisher,  Lawrence  liCwis,  John  Holmes,  and  Wm.  Piatt,  pre- 
sented lliemselves  at  the  committee  room,  and  Mr.  Sergeant  stated  **  that 
they  came  in  pursuance  of  the  precept  served  on  them  individually 
by  the  marshal,  and  that  he  would  read  their  individual  answer  to  it.'* 
He  then  read  tlie  following  paper,  and,  having  done  so,  handed  it  to  the 
committee. 

[Reply  of  Directors  to  subpoena.  ] 

The  undersigned  having  been  individually  served  by  B.  S.  Bonsall, 
Esquire,  marshal  of  the  eastern  disti-ict  of  Pennsylvania,  with  a  copy 
of  a  process,  dated  the  9tl>  instant,  by  which  he  was  commanded  to  sum- 
mon them,  by  the  following  names  and  descrii)ti()ns,  to  wit:  Nicholas 
Biddle,  President,  Emanuel  Eyre,  Matthew  Newkirk,  John  Sergeant, 
Charles  Chauncey,  John  S.  Henry,  John  R.  NcflT,  Ambrose  White,  Daniel 
W.  Coxe,  John  Goddard,  James  C.  Fisher,  Lawrence  Lewis,  John 
Holmes,  and  Wm.  Plait,  directors  of  the  Bank  of  the  United  States,  to 
be  ajid  appear  before  the  Committee  of  the  House  of  Representatives  of  the 
United  States,  appointed  on  the  4th  day  of  Ajjril,  1834,  in  their  chamber, 
in  the  North  American  hotel,  in  the  city  of  Pliiladelphia,  and  tobring  with 
them  the  credit  books  of  said  Bank,  showing  the  indebtedness  of  indivi- 
duals to  said  Bank  on  the  10th  day  of  May  instant,  at  the  hour  of  12 
o'clock  M.,  tlien  and  there  to  testify  touching  the  matters  of  said  inquiry, 
and  to  submit  said  books  to  said  committee  lor  inspection,  have  consulted 
together,  that  they  might  be  assisted  by  the  judgment  of  each  other  as  to 
the  course  they  were  individually  to  pursue,  and  have  concurred,  each  for 
himself,  iu  the  conclusion,  for  the  government  of  his  individual  conduct, 


[  Rep,  No.  481.  ]  37 

which  will  now  be  stated,  and,  to  avoid  misapprehension  or  controversy, 
have  reduced  their  answer  to  writing,  signed  with  their  names,  and  here- 
with respecttully  presented,  each  for  himself,  as  follows  : 

1.  Without  waiving  any  ohjection  there  may  be  to  the  legality  of  the  said 
process,  or  the  service,  (which  is  expressly  reserved,)  we  deem  it  most  con- 
sistent with  the  respect  we  wish,  upon  all  occasions,  to  acknowledge  to  be 
due  to  the  Committee  of  the  House  of  Representatives  of  the  United  States, 
to  attend  upon  them  in  person,  and  accordingly  do  so  attend,  to  manifest 
our  respect, not  to  admit  any  obligation. 

2.  We  do  not  produce  the  books  specified  in  the  paper  before  mentioned, 
that  is  to  say,  « the  credit  books  of  said  Bank,  showing  the  indebtedness 
of  individuals  to  said  Bank,"  because  they  are  not  in  ti»e  custody  of  either 
of  us,  but,  as  has  been  heretofore  stated,  of  the  Board,  whose  views  upon 
this  subject,  we  would  take  occasion  to  say,  have  already  been  respect- 
fully communicated  to  the  Committee  of  Investigation. 

3.  AVe  do  not  know  whetiier  it  was  the  intention  of  the  Committee  of  In- 
vestigation to  call  upon  either  of  us  to  testify,  or  whether  the  object  of  the 
paper  was  not  simply  to  require  us  to  produce  "the  credit  books  of  said 
Bank,  showing  the  indebtedness  of  individuals  to  said  Bank."  But  to 
avoid  unnecessary  trouble  to  the  comnnttee,  and  in  the  spirit  of  frankness 
required  by  the  respect  that  is  due  to  them,  \se  have  deemed  it  proper  to 
consider  the  alternative  first  mentioned,  and  each  of  us  now  says  for  him- 
self that,  considering  the  nature  of  the  proceeding  and  the  character  of  the 
inquiry,  even  as  explained  in  the  resolution  of  the  Committee  of  Investiga- 
tion of  the  7th  instant,  and  considering  that,  as  corporators  and  as  direc- 
tors, we  are  parties  to  the  proceeding,  we  do  not  consider  ourselves  bound 
to  testify,  and,  therefore,  respectfully  decline  to  do  so.  We  are  sure  that 
the  committee  will  duly  estimate  the  sacrifice  we  make  of  personal  feeling 
in  thus  deciding,  conscious,  as  we  are,  that  we  have  no  knowledge  which, 
if  a  necessary  regard  to  our  duties  and  the  rights  of  others  permitted,  we 
would  not  willingly  expose  without  reserve. 

N.  Biddle  Ambrose  White 

Manuel  Eyre  Daniel  W.  Coxe 

Matthew  Nevvkirk  John  Goddaid 

John  Sergeant  James  C.  Fisher 

Ch.  Chauncey  Lawrence  Lewis 

John  S.  Henry  John  Holmes 

John  R.  Neflf  W.  Piatt. 
Philadelphia,  May  10,  1834. 


The  following  resolution  was  adopted,  and  transmitted  to  the  Com- 
mittee of  Directors : 

Committee  Room,  May  10,  1834. 

Whereas  resolutions  have  been  adopted  by  this  committee,  into  which 
the  names  of  private  individuals  were  necessarily  introduced,  that  the 
Committee  of  Directors  might  more  readily  know  where  the  accounts  or 
papers  which  were  called  for,  to  be  examined  confidentially,  were  to  be 
found  ;  and  whereas  it  has  never  been  the  intention  of  this  committee 
to  publish  such  resolutions,  unless,  after  such  confidentiale  xamination,  it 


88  [  Rep.  No.  481.  J 

should  appear  that  the  duty  of  the  committee,  under  the  resolution  of 
inquiry,  required  it ;  and  whereas  the  directors  of  the  Bank  have  de- 
clined to  produce  the  accounts  thus  called  for,  and  this  committee,  un- 
willing to  excite  suspicions  against  any  one  which  they  have  not  the 
means  either  to  justify  or  remove,  and  there  is  no  longer  necessity  for 
such  injunction  of  confidence  :  therefore, 

Resolved,  That  the  members  of  this  committee  be,  and  they  are  releas- 
ed from  the  injunction  which  has  been  imposed  to  consider  confidential 
their  journal  and  proceedings,  except  such  parts  thereof  where  the  names 
of  private  individuals  appear. 

Resolved,  That  a  copy  of  the  foregoing  preamble  and  resolution  be 
forwarded  to  the  Committee  of  Directors. 


REPORT 


^MINORITY  OF  THE  COMMITTEE  FOR  INVESTIGATING 

THE 

AFFAIRS  OF  THE  BANK  OF  THE  UNITED  STATES. 


May  22,1834. 

Printed  by  order  of  the  House  of  Representatives. 


Mr.  Everett,  from  the  minority  of  the  Committee  appointed  to  in^^es- 
tigate  the  affairs  of  the  Bank  of  the  United  States,  submitted  the  fol- 
lowing 

REPORT : 

The  undersigned,  members  of  the  committee  for  investigating  the 
affairs  of  the  Bank  of  the  United  States,  having  differed  from  their  col- 
leagues as  to  the  extent  of  the  powers  of  the  committee,  and  the  mode  of 
pursuing  the  investigation,  beg  leave  to  submit  the  grounds  of  this  differ- 
ence, and  their  reasons  for  not  concurring  in  the  report  of  the  majority  of 
the  committee. 

The  twenty-third  section  of  the  law,  approved  on  the  10th  of  April,  1816, 
(commonly  called  the  Bank  charter,)  makes  the  following  provision:  "  It 
shall  at  all  times  be  lawful  for  a  committee  of  either  House  of  Congress, 
appointed  for  that  purpose,  to  inspect  the  books,  and  to  examine  into  the 
proceedings  of  the  corporation  hereby  created,  and  to  report  whether  the 
provisions  of  this  charter  have  been,  by  the  same,  violated  or  not."  This 
provision  is,  in  terms,  an  express  grant  of  power  to  either  House  of  Con- 
gress ;  and,  consequently,  but  for  this  grant,  neither  House  would  have 
possessed  the  power.  To  suppose  that  either  House  of  Congress 
would  have  possessed  the  power,  although  the  charter  had  been  silent  on 
the  subject,  is  to  suppose  that  so  much  of  the  twenty-third  section  of  the 
charter  as  gives  the  power,  is  mere  surplusage, — an  unauthorized  and  in- 
admissible supposition. 

If  the  power  reserved  in  the  twenty-third  section  had  been  already 
possessed  by  either  House  of  Congress,  it  must  have  been  in  virtue  of  its 
general  authority  to  institute  inquiries,  and  to  send  for  persons  and  papers. 
But  had  the  Congress,  who  granted  the  charter,  understood  that  this  au- 
thority to  send  for  persons  and  papers  extended  to  the  inspection  of  the 
books  of  the  Bank,  they  could  not  have  deemed  it  necessary  to  provide 
that  it  should  be  lawful,  at  any  time,  for  either  House  of  Congress  to  ap- 
point a  committee  for  such  inspection. 

The  resolution  passed  on  the  4th  of  April  last,  under  which  the  Com- 
mittee of  Investigation  was  appointed,  is  expressed  in  the  following  terms ; 
"  Resolved,  That,  for  the  purpose  of  ascertaining,  as  far  as  practicable, 
the  cause  of  the  commercial  distress  and  embarrassment  complained  of 


40  [  Rep.  No.  481.] 

"by  numerous  citizens  of  the  United  States,  in  sundry  memorials  which' 
have  been  presented  to  Congress  at  the  present  session,  and  of  inquiring 
whether  the  charter  of  the  Bank  of  the  United  States  has  been  violated; 
and,  also,  what  corruptions  and  abuses  have  existed  in  its  management; 
whether  it  has  used  its  corporate  power,  or  money,  to  control  the  press, 
to  interfere  in  politics,  or  influence  elections  ;  or  whether  it  has  had  any 
agency,  through  its  management  or  money,  in  producing  the  existing 
pressure,  a  select  committee  be  appointed,  to  inspect  the  books,  and  exam- 
ine into  the  proceedings  of  the  said  Bank,  who  shall  report  whether  the 
provisions  of  the  charter  have  been  violated  or  not ;  and,  also,  what 
abuses,  corruptions,  or  malpractices  have  existed  in  the  management  of 
said  Bank  ;  and  that  the  said  committee  be  authorized  to  send  for  persons 
and  papers,  and  to  summon  and  examine  witnesses  on  oath,  and  to  exam- 
ine into  the  affairs  of  the  said  Bank  and  branches  ;  and  they  are  further 
authorized  to  visit  the  principal  Bank,  or  any  of  its  branches,  for  the  pur- 
pose of  inspecting  the  books,  correspondence,  accounts,  and  other  papers 
connected  with  its  management  or  business ;  and  that  the  said  committee 
be  required  to  report  the  result  of  such  investigation,  together  with  the 
evidence  they  may  take,  at  as  early  a  day  as  possible." 

The  committee,  thus  appointed,  is  clothed  with  the  power  granted  to 
either  House  of  Congress,  by  the  twenty-third  section  of  the  charter,  the 
same  being  given  to  it  by  the  express  words  of  the  resolution,  which  au- 
thorizes it  to  "  inspect  the  books,  and  examine  into  the  proceedings  of  the 
said  Bank,"  and  "  report  whether  the  provisions  of  the  charter  have  beea 
violated  or  not." 

Had  the  resolution  stopped  here,  its  interpretation  would  have  been  easy- 
It  would  have  been  ( and  would  so  have  necessarily  been  Understood )  a 
resolution  creating  a  committee  under  the  power  granted  by  the  twenty- 
third  section  of  the  charter,  and  for  the  precise  objects,  and  no  other, 
therein  provided  for.  But  the  resolution  of  the  House  goes  much  farther. 
It  purports  to  authorize  the  committee  to  engage  in  a  much  wider  range 
of  inquiry  than  the  violation  of  the  charter.  It  declares  the  objects  of 
investigation  to  be  threefold,  viz.  1st,  the  causes  of  the  commercial  em- 
barrassment and  distress  alleged  to  exist;  2d,  violations  of  the  charter  ; 
3d,  corruptions  and  abuses  in  the  management  of  the  Bank,  of  which  se- 
veral are  alluded  to,  in  very  general  and  comprehensive  terms,  as  will 
be  perceived  by  recurrence  to  the  resolution  just  quoted.  Of  these  three 
objects,  the  second  only  is  the  one  on  which  a  committee,  raised  in  pur- 
suance of  the  twenty-third  section  of  the  charter,  is  authorized  to  report. 

As  the  resolution  of  the  House  enumerates  objects  of  inquiry  not  nam- 
ed in  the  charter,  so  it  specifies  means  of  attaining  information,  not  pro- 
vided for  in  that  law.  It  authorizes  the  committee  "  to  send  for  persons 
and  papers,  and  to  summon  and  examine  witnesses  on  oath,  and  to  exa- 
mine into  the  affairs  of  the  said  Bank  and  branches." 

The  point  of  chief  question  in  this  matter  has  been,  what  extension  of 
the  powers  possessed  by  the  committee,  in  virtue  of  the  twenty-third  sec- 
tion of  the  law,  is  effected  by  this  additional  detail  of  the  objects  to  be* 
investigated,  and  of  the  means  for  attaining  knowledge  concerning  them. 

The  subscribers  understand  their  colleagues,  the  majority  of  the  com- 
mittee, to  claim,  under  the  terms  of  the  resolution,  an  unlimited 
power  of  inquiry  after  all  the  conceivable  corruptions  and  malpractices.- 


\  Rep.  No.  481.  ]  41 

of  the  Bank,  and  of  sending  for  the  persons  of  its  oflicers  and  directors, 
and  for  any  and  all  of  its  books  and  papers,  in  order  to  ascertain  whether 
any  such  corruptions  and  malpractices  exist.  The  subscribers  believe 
that  no  such  power  of  general  search  is  given  to  the  committee  by  the 
resolution  ;  and  that  it  was  not  competent  for  either  House  of  Congress 
to  give  it.  In  their  difference  of  opinion  from  their  brethren  of  the  ma- 
jo>ity  on  this  head,  will  be  found  the  chief  source  of  their  dissent  from 
most  of  the  important  measures  proposed  by  the  committee. 

Before  explaining  their  views  more  distinctly,  they  would  observe,  to 
avoid  all  misconception,  that  it  is  no  part  of  their  purpose  to  maintain  that 
the  power  of  the  committee  is  confined  to  an  inquiry,  whether  the  char-., 
ter  of  the  Bank  has  been  Violated.  The  undersigned  believe  it  is  com- 
petent for  the  House  to  inquire  into  any  alleged  abuse  or  corruption 
whatsoever,  to  the  utmost  latitude  required  by  the  public  good,  and  au- 
thorized by  the  principles  of  justice  and  law.  They  believe  that  the 
committee,  of  which  they  are  members,  was  authorized  to  make  such  in- 
quiries. They  believed,  however,  that  these  inquiries  were  to  be  con- 
ducted according  to  the  charter ;  that  is,  according  to  law  ;  and  accord- 
ing to  those  general  principles  of  equity  and  constitutional  right  which 
cannot  be  transcended,  in  virtue  of  any  resolution  of  either  House  of 
Congress ;  and  which  the  undersigned  are  unwilling  to  believe  that 
either  House  of  Congress  could  attempt  or  wish  to  transcend. 

The  undersigned  have  already,  as  they  think,  shown,  that  the  provision, 
in  the  charter  is  a  grant  of  power,  which  would  not  otherwise  have  been 
possessed  by  either  House.  So  far,  therefore,  is  the  general  power  of 
sending  for  persons  and  papers  from  enlarging  the  charter  power,  that  this 
latter  is  an  addition  to  the  power  of  sending  for  persons  and  papers.  The 
power,  therefore,  possessed  by  the  committee  under  the  charter,  and 
recited  in  the  resolution,  is  not,  and  cannot  be  extended  or  enlarged  hy 
any  thing  else  in  that  resolution.  No  limitation  imposed  by  the  charter 
upon  the  inquiry  which  the  committee  is  thereby  authorized  to  make,  or 
the  mode  of  making  it,  can  be  removed  by  the  general  parliamentary 
power  of  the  House  to  institute  investigations,  and  send  for  persons  and 
papers.  It  would  be  an  absurdity  to  make  a  charter  provision  for  ex- 
tending the  general  powers  of  the  House,  and  then  to  seek  to  enlarge  the 
powers  conveyed  in  that  provision,  by  the  addition  of  something  else, 
supposed  to  belong  to  the  general  authority  of  the  House. 

In  addition  to  this,  it  must  be  recollected  that  the  charter  is  a  con- 
tract proposed  by  the  Government  to  the  stockholders,  and  voluntarily 
entered  into  by  them.  This  power  of  visitation,  and  of  subjecting  the 
books  to  inspection,  is  one  of  the  conditions  of  the  contract,  onerous  to 
the  stockholders.  To  attempt  to  enlarge  it  by  construction,  is  to  attempt, 
contrary  to  the  faith  of  the  country,  to  interpolate  new  and  oppressive 
conditions  into  the  contract.  The  undersigned,  therefore,  maintain  that 
a  resolution  of  one  House  of  Congress,  passed  in  virtue  of  its  general 
power  of  inquisition,  cannot  enlarge  the  specific  provisions  of  a  law.  But 
they  do  not  therefore  hold  that  this  committee  could  not,  under  the  au- 
thority of  the  resolution  of  the  House,  inquire  into  any  other  matters 
than  breaches  of  the  charter.  They  maintain  only  that  this  is  a  power 
to  be  exercised  agreeably  to  law  and  justice  ;  that  it  is  not  an  absolute 
inquisitorial  power ;  that  it  does  not  authorize  a  committee  of  either 
6 


42  [  Rep.  No.  481.  J 

House  to  prosecute  a  secret  inquiry  of  indefinite  character,  after  any  and 
every  abuse,  probable  or  possible.  It  does  not  extend  the  right  of  in- 
specting the  books,  granted  for  one  purpose  alone,  so  as  to  authorize  their 
inspection  for  purposes  totally  different.  It  does  not  put  it  in  the  power 
of  a  committee  to  issue  warrants  of  general  search,  and  compel  the  ap- 
pearance of  citizens,  and  the  production  of  papers,  not  in  proof  or  dis- 
proof of  charges  against  third  persons,  by  evidence  of  which  they  are  the 
legal  depositaries,  but  in  order  to  enable  such  a  committee  to  find  out  by 
these  papers,  whether  those  who  bring  them  are  not  themselves  guilty 
of  misdemeanors.  Such  a  power  as  this,  the  undersigned  wholly  reject, 
as  abhorrent  to  reason  and  justice;  unknown  to  the  constitution  of  this 
country  ;  at  war  with  its  spirit  and  with  its  letter  ;  and  utterly  repugnant 
to  the  public  sentiment  of  the  people.  To  claim  such  a  power,  is  to 
claim  for  either  House  of  Congress  the  right,  in  virtue  of  a  resolution,  of 
^sending  to  the  remotest  corners  of  the  Union  for  any  number  of  persons, 
compelling  them  to  attend  a  committee,  with  all  their  papers,  to  submit 
to  be  examined  on  oath  ;  to  exhibit  those  papers  for  inspection  ;  and  thus 
to  enable  such  committee  to  find  matter  of  fixing  on  such  individuals 
the  charge  of  gross,  but  previously  unspecified,  misdemeanors  and  cor- 
ruptions. 

It  is  not  necessary  for  the  undersigned  to  endeavor  to  define  what  are  the 
limits  of  the  powers  of  inquiry  possessed  by  the  Houses  of  Congress.  It  is 
sufficient  for  their  present  purposes  to  have  shown,  (and  the  proposition  is 
proved  in  its  enunciation,)  what  they  are  not  and  cannot  be.  It  cannot 
be  within  the  competence  of  a  committee  of  the  House  to  institute  a 
general  search,  and  compel  the  citizens  on  oath  to  purge  themselves  if 
innocent,  and  criminate  themselves  if  guilty ;  and  bring  with  them  their 
papers  to  be  ransacked  in  a  roving  hunt  for  unspecified  crimes.  The 
constitution  reserves  to  the  people  the  right,  ( a  right  inviolable  with- 
out the  reservation,)  "to  be  secure  in  their  persons,  houses,  papers, 
and  effects,  against  unreasonable  searches  and  seizures."  Of  all  un- 
reasonable searches  that  can  be  imagined,  none  is  more  signally  so 
than  a  general  search  into  the  papers  possessed  by  a  person,  whether 
individual  or  corporate,  with  a  view  to  find  (if  it  should  happen  to  exist) 
matter  of  crimination  against  that  person.  A  general  search  for  an^/ pur- 
pose is  unreasonable  ;  for  the  object  of  criminating  the  individual  search- 
ed, it  would  be  at  war  with  the  first  principles  of  justice,  and,  as  exercised 
by  a  committee  of  the  House  of  Representatives,  one  branch  of  a  Legisla- 
ture of  limited  constitutional  jurisdiction,  an  enormous  assumption  of 
power.  It  would  be  unreasonable,  because,  as  no  man  is  beyond  the  pos- 
sibility of  doing  wrong,  the  right  to  institute  a  general  search,  if  it  exist- 
ed, would  be  a  right  of  inquisition  into  the  affairs  of  every  individual  in 
the  community  ;  a  right  too  extravagant  to  be  claimed  by  any  Government 
pretending  to  be  limited  by  law,  and  never  exercised  by  any  but  those 
odious  and  arbitiary  tribunals  which  are  handed  down  to  the  undying  exe- 
cration of  mankind.  It  would  be  at  war  with  the  first  principles  of  justice, 
which,  as  a  general  rule,  compel  no  man  to  criminate  himself,  directly 
or  indirectly,  nor  to  furnish  the  means  of  his  own  crimination.  It  would 
be  an  enormous  assumption  of  power  on  the  part  of  either  House  of  Con- 
gress ;  a  body  whose  jurisdiction  does  not  extend  to  any  considerable 
portion  of  the  conceivable  crimes  and  misdemeanors  which  such  a  search 


^   rvep.  No.  481.   J  43 

might,  if  they  had  been  committed,  bring  out ;  and  who  can  surely  lay 
claim  to  no  power  of  searching  out  matters,  which,  if  the  search  be  suc- 
cessful, are  without  its  province,  both  of  legislation  and  punishment. 

It  may  be  observed  that,  if  the  right  of  making  such  a  search  of  the 
Bank  of  the  United  States  be  claimed  in  virtue  of  the  general  powers 
of  inquiry  possessed  by  the  House,  it  extends  to  every  State  bank  in  the 
Union,  as  fully  as  to  the  Bank  of  the  United  States.  The  charter  gives 
a  power  of  visiting  the  corporation  thereby  created,  and  of  course  ex- 
clusively confined  to  the  Bank  of  the  United  States.  That  power,  as 
has  been  urged,  can  be  applied  only  to  the  objects  for  which  it  is  given, 
viz.  to  enable  a  committee  to  report  "  whether  the  provisions  of  the 
charter  have  been  violated  or  not."  But  if  we  go  further,  and  claim  a 
right,  under  the  general  power  of  inquisition  possessed  by  the  House,  to 
search  the  Bank  for  objects  not  made  subjects  of  search  by  the  char- 
ter, then  it  is  obvious  that  the  corporators  and  directors  of  the  Bank  of 
the  United  States  are  no  more  amenable  to  such  a  search  in  their 
persons,  books,  and  papers,  than  the  corporators  or  directors  of  any  other 
bank,  of  any  insurance  office,  trust  company,  turnpike,  canal,  or  railroad 
company,  or  any  other  private  citizens.  The  right,  therefore,  claimed  by 
the  majority  of  the  committee,  if  it  transcend  in  the  slightest  degree  the 
limitations  of  the  charter,  must  flow  from  a  claim  of  power,  which  would 
bring  within  its  grasp  every  corporation,  every  citizen,  and  every  book 
and  paper  in  the  United  States,  and  subject  them,  at  any  time,  to  a  general 
search  of  a  committee  of  either  House  of  Congress. 

Should  it  be  contended  that,  as  a  great  stockholder,  the  Govern- 
ment has  a  right  to  institute  this  search,  the  answer  is  obvious.  The 
House  of  Representatives  is  not  the  Government ;  and  the  Government, 
as  a  stockholder,  has  no  rights  not  possessed  by  the  other  stockholders,  or 
to  be  exercised  in  any  other  way.  In  the  contract  between  the  Govern- 
ment and  the  stockholders,  by  which  the  Bank  was  created  a  corporation 
of  a  character  partly  private  and  partly  public,  the  Government  reserved 
to  itself  all  the  powers  which  it  thought  were  required  to  protect  its  in- 
terests as  a  stockholder,  or  which  were  needed  in  reference  to  any  other 
relations  of  the  Bank  to  the  country.  To  these  reservations,  the  stock- 
holders, by  accepting  the  charter,  assented.  They  cannot  now  be  ex- 
tended to  the  prejudice  of  the  Bank,  without  a  violation  of  law  and  a 
breach  of  faith. 

The  undersigned  are  far  from  intending  to  charge  their  respected  col- 
leagues, from  whom  they  differed  with  pain,  with  the  design  consciously 
to  institute  a  search  of  this  character  into  the  aftairs  of  the  Bank,  but 
they  felt  obliged  to  dissent  from  a  considerable  portion  of  their  measures, 
deeming  them,  in  effect,  (though  certainly  not  so  intended,)  to  have  all 
the  essential  characters  of  such  a  general  and  unlawful  search.  The 
justice  of  this  remark  Avill,  as  the  undersigned  think,  abundantly  appear, 
from  a  review  of  the  principal  measures  adopted  by  the  committee,  which 
will  now,  for  this  reason,  be  briefly  examined. 

1.  The  first  step  taken  was  a  call  by  the  Committee  of  Investigation 
on  the  Committee  of  Directors,  for  "  a  list  of  the  books  of  the  Bank,  with 
an  explanation  of  the  purposes  for  which  each  is  designed,  and  the  name 
of  the  clerks  to  whose  care  and  custody  they  are  respectively  committed." 
This  was  a  step  preliminary  to  the  process  by  which  the  Committee  of 
Investigation,  in  the  judgment  of  the  majority,  could  call  for,  and  take 


4#  f   Rep.  No.  481.  J 

into  their  possession,  by  a  precept  addressed  to  the  clerks  in  the  Bank^ 
any  or  all  of  the  books  of  the  institution,  in  which  the  business  transac- 
tions of  the  Bank  are  entered  by  the  said  clerks.  This  list  was  furnished 
by  the  Committee  of  the  Directors,  with  the  statement,  however,  that  the 
books  were  not  in  the  custody  of  the  clerks,  but  in  the  general  custody 
of  the  Board.  In  consequence  of  this  statement,  no  attempt  was  made  to 
obtain  possession  of  the  books  by  a  demand  of  the  clerks. 

2.  Of  a  similar  character,  but  more  objectionable,  because  tending  more 
directly  to  the  institution  of  a  general  search,  and  forming  an  immediate 
preparation  for  it,  was  the  right,  insisted  on  by  the  committee,  of  an  exclu- 
sive occupation  of  the  room  in  the  banking  house,  offered  by  the  directors 
for  their  accommodation  during  the  inspection  of  the  books.  The  under- 
signed refer  to  the  correspondence  between  the  Committee  of  Investiga- 
tion and  the  Committee  of  the  Bank  on  this  subject.  They  would  only 
briefly  observe  that  a  committee  of  seven  had  been  appointed  by  the 
Board  of  Directors,  to  receive  the  Committee  of  Investigation,  and  sub- 
mit for  their  inspection  such  books  and  papers  of  the  Bank  as  might  be 
necessary  to  exhibit  its  proceedings  according  to  the  requirement  of  the 
charter.  A  room  in  the  banking  house  was,  by  this  committee,  offered  for 
the  accommodation  of  the  Committee  of  the  House  of  Representatives.  It 
appeared  at  a  very  early  stage  of  the  proceedings,  in  a  confeience  be- 
tween the  two  committees,  that  the  Committee  of  the  Directors  proposed 
to  exhibit  their  books  in  person  to  the  Committee  of  Investigation,  express- 
ing, at  the  same  time,  their  expectation  and  readiness  to  "  withdraw  from 
the  room  whenever  the  Committee  of  the  House  should  see  fit,"  in  order  to 
furnish  the  Committee  of  the  House  the  opportunity  to  deliberate,  without 
the  presence  of  any  one,  not  required  or  invited  by  themselves  to  attends 
This  proposed  manner  of  conducting  the  examination  was  regarded  by 
the  majority  of  the  Committee  of  the  House  of  Representatives  as  inad- 
missible, and  formed  the  subject  of  a  correspondence  between  them  and 
the  Committee  of  the  Directors.  The  Committee  of  the  House  adopted 
two  resolutions,  by  one  of  which  they  agreed  that  their  proceedings  should 
be  confidential,  unless  otherwise  ordered  by  the  Committee  ;  and  by  the 
other,  that  no  person  should  be  present  at  the  inspection  of  the  books  and 
examination  of  the  proceedings  of  the  Bank,  except  those  whose  attend- 
ance might  be  required  or  permitted  by  the  Committee  of  Investigation. 

The  first  resolution  was  regarded  merely  as  an  understanding,  on  the 
part  of  the  Committee  of  Investigation,  that  no  publicity  would  be  given 
by  them,  until  otherwise  ordered,  to  the  matters  that  might  appear  in  the 
course  of  the  examination.  The  undersigned  assented  to  this  resolution, 
with  the  understanding  of  the  parliamentary  law,  that  the  sittings  of  every 
committee  are  open,  unless  ordered  to  be  secret  by  the  House ;  and  that 
it  was  not  in  the  power  of  the  present  committee,  by  a  vote  of  their  own, 
either  to  shut  their  doors,  or  impose  secrecy  on  any  persons  who  might 
attend.  But  they  assented  to  the  injunction  of  confidence  in  conformity 
with  a  usage  which  has  prevailed  in  other  committees  of  inquiry  of  the 
House,  for  their  own  convenience,  as  a  rule  binding  on  themselves, 
and  with  the  express  reservation  that  the  adoption  of  this  resolution 
should,  in  no  degree,  involve  an  assent  to  the  principle  asserted  in  the 
second.  To  that  principle,  viz.  that  no  person  should  be  permitted  to 
attend  during  the  inspection  of  the  books  of  the  Bank,  and  the  examina- 
tion of  its  proceedings,  whose  presence  was  not  required  nor  assented  to 


[  Rep.  No.  481.  J  45 

by  the  Board,  the  undersigned  were  strenuously  opposed.  It  was  asserted 
as  a  right  on  the  part  of  the  committee,  and  (as  the  undersigned  sup- 
posed, and  the  Committee  of  the  Directors  of  the  Bank  appeared  also  to 
understand  it,)  with  an  intention  to  enforce  the  right.  In  pursuance  of  this 
intention,  (as  the  undersigned  supposed,)  the  Committee  of  Investiga- 
tion ceased  to  hold  their  meetings  in  the  room  set  apart  for  them  in  the 
banking  house,  as  soon  as  they  understood  the  Committee  of  the  Directors 
of  the  Bank  to  claim  the  right  of  being  there  present  with  their  books, 
during  the  inspection  of  the  same.  It  is  true  that,  by  a  subsequent  reso- 
lution, the  Committee  of  the  House  of  Representatives  disclaimed  having 
decided  that  they  should,  in  point  of  fact,  exclude  the  directors  from  the 
room  during  the  inspection  of  the  books ;  but  they  persevered  in  the 
assertion  of  the  right  to  do  so,  as  appears  from  the  documents  appended 
to  this  report. 

This  claim  was  regarded,  by  the  undersigned,  as  being  without  foun- 
dation, and  objectionable.  In  the  first  place,  as  has  been  observ- 
ed, they  believed  it  to  be  contrary  to  the  lex  parliamentaria  for  a  com- 
mittee of  inquiry,  on  its  own  authority,  to  claim  the  right  of  holding  its 
sittings,  except  when  deliberating  and  voting,  in  secret.  It  can  only  be 
constituted  a  secret  committee,  by  express  order  of  the  House.  Second- 
ly, this  principle  involved  the  right  of  withdrawing  the  books  of  the  Bank 
from  the  custody  of  the  directors,  and  taking  them  into  the  possession  of 
the  Committee  of  Investigation.  This  is  a  power  not  given  by  the  char- 
ter, which,  as  far  as  the  books  are  concerned,  authorizes  a  committee 
only  "to  inspect  the  books."  As  the  right  thus  reserved  by  the  charter 
to  Congress  is  not  only  one  of  the  conditions  of  an  agreement,  but  is  in 
derogation  of  the  rights  and  liberties  of  the  citizen,  and  could  not  be 
claimed  at  common  law,  and  its  exercise  at  best,  and  under  any  circum- 
stances, must  be  highly  incommodious,  and  create  a  serious  interruption 
of  the  business  of  the  Bank,  it  should  be  construed  rather  strictly  than 
liberally,  and  not  draw  with  it  by  implication  any  thing  not  necessary  for 
its  exercise.  The  entire  confidence,  which  the  undersigned  feel,  in  the 
liberality  and  magnanimity  of  their  colleagues,  so  to  conduct  the  inspec- 
tion, as  to  cause  the  least  possible  inconvenience  to  the  officers  of  the 
Bank,  could  not  authorize  an  acquiescence  in  a  claim  of  right  wholly  to 
obstruct  and  bring  to  a  stop  the  ordinary  proceedings  of  the  Bank  ;  ip 
fact,  to  suspend  the  charter. 

It  was  a  claim  to  take  the  books  out  of  the  possession  of  the  directors 
into  the  possession  of  the  committee,  to  detain  them  as  long  as  they 
pleased,  to  carry  them  whithersoever  fliey  pleased,  (a  right  afterwards 
more  distinctly  asserted  and  attempted  to  be  enforced,)  and  to  put  them 
to  whatever  use  the  committee,  in  their  uncontrolled  discretion,  might 
think  proper.  The  undersigned  again  repeat,  that  it  derogates  in  no 
degree  from  the  objectionable  character  of  this  claim  to  urge,  that  the 
books  of  the  Bank,  thus  taken  from  the  possession  of  the  directors,  could 
have  been  put  to  no  unworthy  use  by  the  Committee  of  Investigation. 
Such  an  idea  could  only  suggest  itself  to  be  repudiated.  It  is  sufficient 
objection,  that  they  would  have  been  put  out  of  the  custody  of  those  re- 
sponsible to  the  stockholders  for  their  safe  keeping.  The  most  improper 
use  to  which  the  books,  or  any  other  property  of  an  individual  or  a  cor- 
poration, can  be  put,  is,  to  take  them  away  from  their  rightful  owner  and 
lawful  guardian.     I  may  think  I  can  take  better  care  of  my  neighbor's 


'^6  [Rep.  No.  481.  ] 

property  than  he  does  himself,  but  I  may  not  therefore  take  it  from  him, 
:ind  administer  it,  even  for  his  own  good.  Far  less  may  I  take  it,  with- 
out warrant  of  law,  in  order  to  extract  from  its  unlawful  use  matter  to  be 
used,  directly  or  by  consequence,  for  his  crimination.  The  books  be- 
long to  the  stockholders  of  the  Bank,  and  are,  by  them,  entrusted  to  the 
directors.  They  do  not  belong  to  the  House  of  Representatives,  nor  to 
any  committee  of  that  House  ;  and  a  right  to  inspect  them  no  more  in- 
volves a  right  to  take  possession  of  them,  than  a  right  to  count  the  money 
in  the  vaults  involves  a  right  to  take  possession  of  it.  It  is  a  case  of  fre- 
quent occurrence  in  the  State  banks,  that  committees  are  sent  to  visit 
them,  and,  among  other  things,  to  count  the  specie  in  their  vaults.  Should 
such  a  committee  claim  the  right  of  going  intothe  vaults  alone,  and  count- 
ing the  money,  without  the  presence  of  the  directors  of  the  Bank,  or  their 
authorized  agents,  it  would  be  thought  a  very  unwarrantable  claim ;  and 
«o  personal  confidence,  reposed  in  the  honor  and  probity  of  the  commit- 
tee, would  render  such  a  claim  at  all  the  less  unwarrantable. 

But  the  attempt  to  fortify  the  right  of  taking  possession  of  the  books,  by 
urging  that  in  its  exercise  it  would  not  have  been  abused,  wholly  fails, 
in  the  apprehension  of  the  undersigned,  because  they  deem  that  the  use 
which  was  avowedly  to  be  made  of  them,  \fas  the  greatest  possible 
abuse.  It  was  intended  to  employ  them  for  the  purpose  of  a  general 
search,  not  only  to  ascertain,  in  the  most  general  form,  whether  the  char- 
ter of  the  Bank  had  been  violated,  but  also  what  corruptions,  abuses,  and 
malpractices  had  taken  place  in  its  management ;  and  this,  by  way  of 
inquiry  among  other  things,  whether  a  criminal  prosecution,  in  legal 
form,  should  be  instituted,  (see  resolution  of  Committee  of  Investigation 
of  7th  of  May,)  in  which  prosecution  the  directors,  called  to  submit  the 
books,  would  have  been  the  party  implicated. 

The  undersigned  believe  that,  in  a  land  of  constitutional  liberty  and 
law,  it  can  need  but  little  argument  to  show  that  a  claim,  on  the  part  of 
a  committee  of  either  House  of  Congress,  acting  in  virtue  of  the  general 
parliamentary  power  of  inquiry  to  demand,  as  a  matter  of  right,  the  pro- 
duction, and  to  take  possession  of  the  books  and  papers  belonging  to  an 
individual  or  a  corporation,  in  order  to  search  therein  for  matter  on 
which  to  found  a  criminal  procedure  against  said  individual  or  corpora- 
don,  is  a  claim  at  once  of  the  most  unfounded  and  pernicious  character^ 
They  confidently  believe  that  no  court  of  justice  in  the  United  States,  or 
any  other  free  country,  has  ever  claimed  such  a  power  as  a  right,  or  at- 
tempted, in  point  of  fact,  to  execute  it.  They  have  never  heard  of  any 
statute  which  gives  this  power  to  any  court  or  other  tribunal.  And  they 
would  deem  the  assumption  of  such  a  power,  by  either  House  of  Con- 
gress, as  an  incident  of  the  general  powers  of  the  House,  and  resting  on 
the  lex  parliamentaria,  as  unwarrantable,  and  in  the  highest  degree 
dangerous. 

3.  The  committee  having  withdrawn  from  the  occupation  of  the  roonxi 
in  the  banking  house  for  the  reason  stated,  adopted  a  resolution  requiring 
the  President  and  Directors  of  the  Bank  to  submit  certain  of  the  books 
of  the  Bank  to  the  inspection  of  the  committee,  at  their  room  in  the  North 
American  hotel.  (See  Doc.  No.  25.)  With  this  requisition  the  Com- 
mittee of  the  Directors  declined  complying,  for  reasons  which  appear  in 
their  resolutions  adopted  May  the  3d.     (Document  No.  30.)     The  un- 


[  Rep.  No.  481.  J  4T 

dersigned  regarded  this  resolution  of  the  committee  as  open  to  the  objec- 
tions already  urged  against  an  ex  parte  inspection  of  the  books,  and  to 
others  peculiar  to  itself.  By  its  terms,  the  President  and  Directors  are 
required  to  submit  certain  of  their  books  to  the  inspection  of  th.e 
committee  at  the  North  American  hotel.  If,  by  the  terra  required, 
nothing  is  to  be  understood  but  a  request,  with  which  the  directors  of 
the  Bank  were  at  liberty  to  decline  a  compliance,  they  were  of  course 
free  so  to  decline,  and  their  doing  so  argues  no  contempt  of  the  House. 
But  the  majority  of  the  committee  evidently  regarded  as  in  some  way  obli- 
gatory the  demand  for  the  production,  at  their  hotel,  of  certain  of  the 
books  of  the  Bank.  Such  a  demand  the  subscribers  deemed  to  be  un- 
authorized. If  valid,  in  reference  to  the  books  named  in  the  requisi- 
tion, it  was  of  course  valid  as  to  all  thp.  books  of  the  Bank  and  all  its 
branches ;  which,  by  parity  of  right,  the  committee  might  have  required 
to  be  brought  to  their  lodgings,  and  there  detained  and  used  at  their 
pleasure.  The  question  whether  (supposing  them  brought  to  the  com- 
mittee's room  at  the  North  American  hotel)  they  should  there  be  sub- 
mitted in  person  by  the  directors,  or  inspected  ex  parte  by  the  Committee 
of  Investigation,  was  not  distinctly  raised.  But  considering  that  the 
committee  ceased  to  hold  their  meetings  at  the  banking  house,  precisely 
because  the  directors  insisted  on  their  submitting  the  books  for  inspec- 
tion in  person,  it  appeared  to  the  undersigned  that,  whether  exercised  or 
not,  the  right  of  an  ex  parte  inspection  was  designed  to  be  reserved,  and 
that  the  inspection  was  required  to  be  had  at  the  private  room  of  the 
committee,  to  enable  the  committee,  if  they  deemed  it  expedient,  to  act 
on  that  reservation.  All  the  objections,  therefore,  which  lie  to  an  ex 
parte  inspection  in  the  banking  house,  hold  with  equal  force  to  an  ex 
parte  inspection  out  of  it. 

In  addition  to  this,  the  requisition  of  the  books,  to  be  carried  away 
from  the  banking  house,  appeared  to  the  undersigned,  for  other  reasons, 
of  an  inadmissible  character.  It  was  to_^take  them  away  from  the  place 
where  the  important  interests  of  the  Bank  require  them  to  be,  and  to  be 
used.  It  was  to  expose  them  to  the  risks  of  transportation  through  the 
streets,  and  detention  in  private  rooms,  not  constructed  for  the  safe  pre- 
servation of  valuable  papers.  While  it  is  the  constant  practice  of  indi- 
viduals to  deposite  for  safe  keeping  valuable  books  and  papers  in  the 
vaults  of  the  Bank,  the  Bank  was  required  to  remove  its  own  books  and. 
papers,  containing  the  evidence  of  pecuniary  transactions  to  the  amount 
of  several  hundreds  of  millions  of  dollars  annually,  to  the  committee's 
room  in  the  North  American  hotel,  a  public  house  of  great  resort  in  Phi- 
ladelphia. The  undersigned  opposed  this  requisition,  from  the  belief 
that  it  was  totally  beyond  the  authority  of  the  House  ;  and  they  should 
have  deeply  regretted  a  compliance  with  it  by  the  Bank,  which  Avould 
have  devolved  on  the  committee  the  care  and  responsibility  of  a  deposite 
so  delicate  and  valuable. 

By  the  23d  section  of  the  charter,  whenever  a  scire  facias  against  the 
Bank  is  sued  out  of  the  circuit  court  of  Pennsylvania,  it  shall  be  "  lawful 
for  the  court,  in  examining  into  the  truth  of  the  alleged  violation  of  the 
charter,  to  require  the  ptoduction  of  such  of  the  books  of  the  Bank  as  it 
may  deem  necessary  to  the  ascertainment  of  the  controverted  facts.'* 
This  is  the  only  case  in  which  the  contract  between  the  Government  and 


JftS  '[  Rep.  No.  481.  ] 

the  stockholders  authorizes  a  requisition  of  the  books ;  and  this  cautious 
authority,  granted  by  law  to  one  of  the  high  judicial  tribunals  of  the 
country,  on  an  examination  into  an  alleged  violation  of  the  charter,  to 
require  the  production  of  the  books  which  it  may  deem  necessary  to  the 
ascertainment  of  controverted  facts,  sufficiently  disproves,  by  exclusion, 
the  grant  of  any  similar  or  additional  power,  of  the  same  kind,  to  any  other 
tribunal.  That  the  House  of  Representatives,  independent  of  the  char- 
ter, has  a  right,  by  one  of  its  committees,  to  require  the  production  of 
any  or  all  of  the  books  of  the  Bank  at  the  lodgings  of  said  committee,  or 
any  where  else,  the  undersigned  cannot  bring  themselves  to  admit.  At 
all  events,  as  no  authoritative  form  was  given  to  the  requisition,  the  di- 
rectors, in  respectfully  declining  to  comply,  are  of  course  guilty  of  no 
contempt  of  the  Housg. 

4.  Alter  the  directors  of  tlie  Bank  had  declined  a  compliance  with  the 
requisition  of  Iheir  books  to  be  produced  at  the  North  American  hotel,  the 
Committee  of  Investigation,  on  the  5th  of  May,  adopted  a  resolution  (see 
Document  No.  32)  that  they  would  repair  to  the  banking  Jiouse,  at  one 
o'clock  of  that  day,  to  inspect  the  books  specified  in  the  resolution  ^  tiie 
28th,  and  such  others  as  they  might  require  to  be  produced.  A  copy  of 
this  resolution  was  sent  to  the  chairman  of  the  Committee  of  the  Di- 
rectors, but  reached  him  at  his  dwelling-house,  at  a  time  when  the  Com- 
mittee of  the  Directors  was  not  in  session,  and  a  short  time  before  the 
liour  named  in  the  resolution  of  the  Committee  of  Investigation.  He  im- 
mediately informed  the  chairman  of  the  Committee  of  the  House  by  letter, 
that  it  would  be  impracticable  to  reassemble  the  Committee  of  the  Direc- 
tors in  season  to  submit  tiie  books  for  inspection  that  day,  but  that  they 
would  be  reassembled  without  unnecessary  delay.  The  committee,  how- 
over,  deemed  it  expedient,  for  the  purpose  of  making  up  an  issue,  to  repair 
to  the  banking  house  at  the  hour  named,  and  then  and  there  to  call  on  the 
President  ajid  Cashier  of  the  Bank  to  submit  certain  of  their  books  to  the 
committC'\  This  accordingly  took  place,  first  in  the  large  hall  of  the 
banking  house,  and  then,  by  repetition,  in  the  President's  room.  The 
Piesident  and  Cashier  declined  a  comjjliauce  w ith  this  request,  on  the 
ground  that  they  had,  neither  of  them,  the  custody  of  nor  control  over 
tiie  books  and  papers ;  the  general  custody  of  the  same  being  with  the 
Board  of  Directors,  who  had  already  apprised  the  Committee  of  the  House, 
that  they  had  placed  them  under  the  direction  of  a  committee,  to  be  by  that 
committee  submitted  for  insj)ection,  and  that  they  (the  President  and  Cash- 
ier) were  therefore  unable  to  com])ly  with  the  dcinand  of  the  Committee  of 
Investigation.  This  demand,  and  the  answer  to  it,  were  then  reduced  to 
writing,  and  will  be  found  among  the  papers  (Nos.  35,  36)  aj)pended  to 
this  rej)ort. 

This  proceeding  was  but  a  repetition,  in  a  form  a  little  varied,  of  the 
.attempts  before  made  to  acquire  the  means  of  conducting  the  inspection 
of  the  books,  apart  from  those  to  whom  the  directors  had  confided  the 
•duty  of  submitting  them  to  the  Committee  of  the  House  of  Kepresenta- 
tives.  It  was  avowedly  intended  only  to  make  up,  in  another  form,  the  issue 
which,  it  was  supposed  would  be  created  between  the  Bank  and  the  Com- 
mittee of  Investigation,  by  the  failure  of  tlie  committee  to  obtain  tiie  books 
thus  required  of  the  Tresidenl  and  Cashier.  It  was  known  to  the  Commit- 
tee of  the  House  tiiat  the  dircctojs,  by  an  authentic  act,  of  which  a  co])y 
liad  been  communicated,  had  placed  the  books  at  the  disposal  of  the  Cora- 


[  Rep.  No.  481.  J  49 

mittee  of  the  Board,  to  be  by  them  submitted  in  person  for  inspection.  The 
said  Committee  of  the  Directors  had  twice  positively  made  known  their  in- 
ability to  depart  from  the  instructions  of  the  Board  in  this  respect.  The 
Committee  of  the  House  were  apprised  that  the  books  asked  for  were  not, 
under  the  iiistructions  of  the  Board,  at  the  voluntary  disposal  of  the  Pre- 
sident and  Cashier,  and  the  demand  made  of  these  otficers  by  the  committee 
in  person  at  the  Bank  was  not  of  the  nature  of  a  legal  process  to  com- 
pel their  production,  supposing  them  to  have  been  de  Jado  in  the  keeping 
of  the  said  officers.  For  these  considerations,  the  undersigned  opposed 
the  personal  demand  for  the  production  of  the  books  now  under  considera- 
tion, as  a  measure  which  must,  for  the  reason  stated,  prove  ineiTectual,  un- 
necessary for  the  making  up  of  the  desii-ed  issue,  and  open  to  the  objection 
of  wearing  a  vexatious  appearance.  To  make  a  third  application  for  a 
voluntary  submission  of  tlie  books  in  a  manner  which,  it  was  known, 
was  deemed  inadmissible,  at  the  same  time  that  no  recourse  was  had  to 
compulsory  process,  could  not  but  have  the  effect,  though  certainly  not  so 
intended,  of  gratuitously  throwing  upon  the  directors  the  odium  of  repeated 
refusals  of  the  requests  of  the  Coniinittee  of  the  House.  However  this 
may  be,  as  the  fact  is  undoubted  thai  the  directors  had  placed  the  books 
under  the  control  of  the  Committee  of  the  Board  ;  as  their  right  to  do  is  un- 
questionable ;  as  tlie  chairman  of  the  Committee  of  the  Directors  liad  ap- 
prised the  chairman  of  the  Committee  of  Investigation  that  the  former 
could  not  be  reassembled  at  the  very  short  notice  given,  but  should  be  so, 
without  unnecessary  delay,  to  submit  the  books  for  inspection ;  as  the 
books  were  not  in  point  of  fact  in  possession  of  the  (,fficers  called  on  ;  the 
undersigned  feel  confident  tliat,  in  respectfully  declining  to  produce  them, 
those  ofiicers  were  guilty  of  no  contempt  of  the  authority  of  the  House. 

5.  But  whatever  difference  of  opinion  might  at  the  first  have  existed 
between  the  Committee  oftl)e  House  and  the  Committee  of  the  Directors  as 
to  the  propriety  of  permitting  the  latter  to  retain  the  custody  oftlic  books, 
and  submit  them  in  person  to  the  Committee  of  the  House,  further  consi- 
deration appears  to  have  led  the  Committee  of  the  House  to  admit  the  rea- 
sonableness of  this  mode  of  conducting  the  investigation,  so  far  at  least 
as  to  acquiesce  in  it, — a  consideration,  which  exonerates  tlie  directors  from 
any  charge  of  contempt  in  the  course  hitiierto  pursued  by  them.  Accord- 
ingly, without  waiving  their  riglit  to  require  the  production  of  the  books 
at  their  lodgings,  they  repaired  again  to  the  banking  house,  to  the  room  set 
apart  for  their  accommodation,  and  required  the  production  of  certain  of 
the  books  of  the  Bank. 

It  will  be  observed  that,  up  to  this  time,  nothing  had  been  arranged  as 
to  the  mode  of  conducting  the  inspection  beyond  the  single  point,  settled 
by  the  acquiescence  of  the  Committee  of  tlic  House  of  Representatives, 
that  the  books  should  be  submitted  in  person  by  the  Committee  of  the 
Directors.  No  objects  of  inquiry  had  been  announced  by  the  Committee  of 
Investigation,  furtlicr  than  they  appear  in  the  resolution  of  the  House  under 
which  the  committee  was  raised,  and  in  the  calls  made  for  information,  as 
to  a  great  amoimt  and  vai-iety  of  matters,  as  appears  from  the  resolutions 
in  the  appendix.  The  correspondence  whicli  had  taken  place  between  tijc 
committees,  had  been  confined  almost,  exclnsivelv  to  the  sinsrie  at-ound  of 
the  course  deemed  proper  to  be  pursued  by  tlie  committee,  to  obtain  posses- 
sion of  the  books  of  the  Bank. 

On  the  arrival  of  the  committee  at  the  banking  house  on  tlie  Tth  of  May, 
7 


50  [  Rep.  No.  481.  ] 

a  call  was  made  on  the  Committee  of  the  Board,  in  pursuance  of  the  fol- 
lowing resolution  : 

May  7,   1834. 

Resolved,  That  the  committee  will  proceed  to  examine  into  the  truth  of 
the  statement  made  hy  the  Government  directors  to  the  President  of  the 
United  States  and  to  Congress,  and  for  that  purpose  will  this  day  call  for 
the  production,  for  inspection,  of  the  minute  hooks  containing  the  proceed- 
ings of  the  directors  of  the  Bank,  and  the  expense  hooks  and  vouchers  for 
expenses  incurred. 

As  preliminary  to  a  reply  to  this  demand,  the  following  paper  was  read 
by  the  chairman  of  the  Committee  of  the  Board  : 

May  7,  1834. 

Whereas  it  appears,  from  the  resolution  of  the  House  of  Representatives 
of  the  United  States,  appointing  the  Committee  of  Investigation,  that  two 
distinct  inquiries  were  contemplated,  one  of  them  directed  to  ascertain 
whether  the  charter  had  heen  violated,  and  limited  to  the  acts  of  the  cor- 
poration ;  and  the  other  so  very  general  and  indefinite,  as  to  make  it 
diflBcult,  if  not  impossihle,  to  say  whether  it  has  any  limits  at  all,  either 
as  to  the  matters  to  be  inquired  into,  or  the  mode  of  pursuing  the  inquiry ; 
and  whereas  it  appears,  from  calls  made  by  the  Committee  of  Investiga- 
tion, that  (hey  have  proposed  a  very  wide  range,  embracing,  among  other 
things,  an  extensive  examination  of  the  acts,  transactions,  accounts,  and 
letters  of  individuals,  and  thus  instituting  a  kind  of  general  search,  which 
is  the  more  objectionable,  because,  if  it  have  any  purpose  at  all,  it  must  be 
to  criminate  those  individuals,  as  well  as  the  Bank,  and  if  it  have  not  this 
purpose,  it  is  without  any  assignable  object,  and  would  be  an  injurious 
invasion  of  private  interests ;  and  whereas,  under  these  circumstances,  it 
is  the  duty  of  the  committee,  by  all  lawful  means,  to  protect  the  rights  and 
sacred  confidence  entrusted  to  their  keeping,  and  to  yield  nothing  by  con- 
sent which  cannot  be  legally  demanded  from  them  ;  and  whereas,  after 
careful  and  anxious  consideration,  they  are  of  opinion  that  the  inquiry 
can  only  be  rightfully  extended  to  alleged  violations  of  the  charter,  and 
this  inquiry  ought  to  be  conducted  according  to  some  certain  principles 
and  rules  :  therefore, 

Resolved,  That  the  Committee  of  Investigation  be  respectfully  required, 
when  they  ask  for  books  and  papers,  to  state  specifically,  in  writing,  the 
purposes  for  which  they  are  proposed  to  be  inspected,  and,  if  it  be  to  esta- 
blish a  violation  of  the  charter,  then  to  state  specifically,  in  writing,  what 
are  the  alleged  or  supposed  violations  of  charter  to  which  the  evidence  is 
alleged,  or  supposed  to  be  applicable. 

Resolved,  That,  in  the  opinion  of  this  committee,  it  would  very  much 
conduce  to  the  purposes  of  justice,  as  well  as  to  the  convenience  of  all  con- 
cerned, if  the  Committee  of  Investigation  would  furnish  a  specification  of 
all  the  charges  intended  to  be  inquired  into,  and  proceed  with  them  in 
order  as  stated. 

The  undersigned  opposed  the  call,  above  recited,  made  on  the  Tth  May, 
for  the  production  of  books.     They  feel  themselves,  therefore,  called  upon 


[  Rep.  No.  481.   I  51 

to  explain  briefly  the  considerations  which  influenced  them.  The  under- 
signed have  already  stated  that  they  conceived  the  committee,  of  which 
tliey  have  the  honor  to  be  members,  to  be  clothed  with  a  twofold  power, 
and  to  be  competent,  or  rather  required,  by  tiie  order  of  the  House,  to  act 
in  a  twofold  capacity.  They  were  a  committee  of  visitation,  appointed 
nnder  the  twenty-third  section  of  the  charter.  As  such  they  were  autho- 
rized to  visit  the  Bank,  to  inspect  the  books,  and  to  examine  into  the  pro- 
ceedings of  the  Bank,  and  report  wliether  the  charter  had  been  violated. 
Tiiey  were,  also,  a  committee  of  inquiry  into  the  causes  of  the  present 
commercial  embarrassment  and  pecuniary  distress,  and  into  the  corrup- 
tions, abuses,  and  malpractices  of  the  Bank.  In  the  former  capacity,  they 
had  a  right  to  inspect  the  books  of  the  Bank.  They  had  this  right  by  the 
charter,  and  would  not  have  had  it  without  the  charter.  In  the  latter 
capacity,  they  had  no  right  to  insjiectthe  books  unless  voluntarily  submit- 
ted by  the  Bank,  because  the  charter  does  not  give  them  that  right  for  such 
purposes.  The  Bank  is  obliged,  by  the  charter,  to  submit  its  books  to  the 
inspection  of  a  committee  of  visitation,  authorized  to  report  if  the  char- 
ter has  been  violated  ;  and  it  is  not  bound  to  submit  them  to  a  committee 
of  general  inquest  authorized  to  report  on  malpractices  and  corruptions. 
The  right  of  inspection  possessed  by  the  committee,  as  a  committee  of  visi- 
tation, cannot  be  used  by  it  in  its  other  capacity  of  a  committee  of  general 
inquest  and  accusation,  as  an  instrument  of  search  after  crimes  and  mis- 
demeanors in  general. 

But  the  directors  of  the  Bank  had  been  apprised  at  the  outset,  by  the 
resolution  of  the  House  of  Representatives  of  the  4th  of  April,  thfit  the 
committee  was  of  a  twofold  character,  as  stated.  Tiiat  resolution  dis- 
tinctly enumerates,  as  objects  of  inquiry,  not  only  violations  of  the  char- 
ter, for  which  the  books  might  be  inspected,  but  various  acts  of  misman- 
agement and  corruption,  for  which  they  might  not  be  inspected  unless 
voluntarily  offered  for  that  purpose.  The  Committee  of  Investigation  had 
addressed  various  calls,  by  way  of  resolution,  to  the  Committee  of  the  Di- 
rectors, touching  matters  concerning  which  the  charter  does  not  require 
iUe  Bank  to  submit  its  books  for  inspection.  The  call  of  the  7th  of  May, 
on  the  last  visit  to  the  banking  house,  is  for  certain  of  the  books  of  the 
Bank,  to  enable  tlie  committee  '♦  to  examine  into  the  truth  of  the  statement 
made  by  the  Government  directors  to  the  President  of  the  United  States 
and  to  Congress."  That  statement  embraces  matters  which  neither  are, 
nor  are  alleged  to  be,  violations  of  the  charter,  and  consequently  in  refer- 
ence to  which  the  directors  are  not  required  lo  submit  their  books  for  in- 
spection. 

Had  it  pleased  the  House  of  Representatives  to  create  two  committees, 
one  of  visitation,  under  the  twenty-third  section  of  the  charter,  and  one  of 
general  inquiry,  under  the  power  of  the  House  to  send  for  persons  and 
papers,  these  two  committees  would  not  have  been  authorized  to  anjalga- 
matc  nor  interchange  each  other's  functions.  The  committee  of  charter 
visitation  would  not  have  been  authorized  to  engage  in  a  general  inquisi- 
tion, nor  would  the  committee  of  inquiry  have  been  authorized  to  demand 
the  books  for  inspection. 

But  to  what  avail  lias  the  charter  limited  the  objects  for  which  the  hooks 
may  be  inspected,  and  jjrotectcd  the  corporation,  and  those  who  transact 
business  with  it,  from  the  annoyance  and  mischiefs  of  a  general  search,  if 


§2  I   Uep.  No.  481.  J 

a  committee  of  visitation  may  be  clothed  with  the  functions  of  a  commit- 
tee of  general  inquiry,  and  having  got  the  books  into  their  hands  for  one 
purpose  authorized  by  the  law,  may  use  tiiem  for  another  purp.ise  not  au- 
tiiorized  by  law  ?  It  is  plain  that  if  this  could  be  done,  the  limitation  of 
the  right  of  inspection  would  be  illus(u-y  and  wortliless.  In  order  to  ren- 
der the  limitation  efficient,  the  Committee  of  the  Directors  required  of  the 
Committeeof  Investigation  to  specify  the  objects  for  which  they  demanded 
the  books.  For  some  objects  the  demand  of  the  books  was  according  to 
law;  for  other  objects,  not  being  bound  by  law  to  yield  them,  the  direc- 
tors were  at  liberty  to  withliold  them,  or  to  submit  them,  according  to  their 
discretion.  They,  therefore,  needed  a  specification,  to  enable  them  to  dis- 
charge tlicir  duty  under  the  charter,  as  well  as  to  protect  them  in  their 
rights;  to  enable  them  to  distinguish,  in  the  requisitions  of  the  Committee 
of  Investigation,  how  much  was  authoritative,  under  the  statute  command- 
ing obedience ;  and  how  much,  not  being  authoritative,  they  were  at  liberty 
to  concede  or  to  withhold. 

There  was  the  more  reason  in  insisting  on  this  right  to  make  the  limi- 
tation on  the  inspection  of  their  books  available,  because,  as  has  heretofore 
been  observed,  the  inspection  itself  is  in  derogation  of  the  natural  rights  of 
the  citizen,  who  ought  not,  under  any  circumstances,  to  be  obliged  to  crimi- 
nate himself.  It  pleased  the  Legislature,  regarding  the  corporation  as  their 
own  legal  creation,  to  require  tliem,  when  accused  of  violating  the  funda- 
mental laws  of  their  existence — the  provisions  of  the  charter — to  submit 
their  books  to  a  committee  authorized  to  report  on  that  fact  alone.  But 
to  transfer  this  limited  right  of  inspection  to  other  committees  for  general 
powers  of  inquisition,  and  for  a  general  purpose  of  enforcing  self-crimi- 
nation, is  illegal  and  inequitable.  To  do  this  by  indirection  ;  to  clothe  a 
committee  of  inquiry  with  the  powers  of  a  committee  of  visitation,  and 
thus  to  acquire  a  right  to  open  the  books  for  one  object,  and  then  to  in- 
spect them  for  another,  would  be  to  attempt  to  accomplish  an  end  in  itself 
unauthorized,  by  means  peculiarly  unwarrantable. 

For  these  considerations  the  undersigned  regarded  the  directors  as  jus- 
tified in  requiring  of  the  committee  of  the  House  a  specification  of  the  ob- 
jects of  their  inquiry.  The  gi-ound  taken  by  the  Committeeof  the  Board  is, 
as  the  House  perceives,  a  ground  of  legal  right,  assumed  by  the  directors, 
under  the  circumstances  of  the  case.  This  is  the  third  occasion  on  which 
the  Bank  has  been  visited  by  committees  of  the  House.  In  the  year  1818, 
a  committee  was  appointed  to  examine  the  affairs  of  the  Bank,  then  in  dis- 
order. The  committee  thus  appointed  was,  by  the  terms  of  the  resolution, 
directed  to  report  %\hether  the  charter  had  been  violated,  and  the  resolu- 
tion consisted  mainly  of  a  specification  of  alleged  violations.  In  execut- 
ing their  trust,  however,  the  committee  extended  their  inquiries  to  the 
general  management  of  the  Bank,  anrl  examined  its  Piesident,  other  offi- 
cers, and  directors,  on  oath.  To  this  course  of  inquiry,  the  Bank  deemed 
it  for  its  interest  to  submit.  The  undersigned  are  not  aware  that  any 
resistance  was  made  to  the  demands  of  the  committee.  On  the  contrary, 
their  report  closes  with  the  observation,  that  "  it  is  due  to  the  officers  of 
the  Bank  at  Piiiladelphia  to  state  that  Q\cvy  facility  in  their  power  was 
i"endered  in  ex{)laining  the  books  and  assisting  the  researches  of  the  com- 
mittee." In  one  instance,  in  which  an  individual,  a  director  of  one  of  the 
offices,  charged  with  malpractices,  refused  to  testify,  the  committee   ob- 


r  Rep.  No.  481.  ]  53 

serve,  that  they  did  not  insist  on  his  answering,  and  tliat  they  examined 
him  ciiiefly  to  enable  him,  if  he  pleased,  to  exculpate  iiimself.  Tliis  com- 
mittee did  not  confine  their  examinations  to  the  officers  of  the  Bank. 
They  examined  the  Teller  of  tlie  Bank  of  North  America,  and  perhaps 
other  persons.  This  circumstance,  and  the  others  mentioned,  sufliciently 
show  that  no  question  as  to  the  extent  of  the  powers  of  the  committee  was 
raised  during  the  visitation  ;  that  the  witnesses  appeared  voluntarily  ;  that 
the  Bank  deemed  it  lor  its  interest  to  submit  to  the  examination  of  the 
committee,  in  any  form  in  which  the  committee  thought  projjcr  to  conduct 
it;  and  that  consequently  the  whole  investigation  assumed  the  form  of  a 
parliamentary  inquiry,  conducted  by  the  assent  of  the  parties,  and  without 
any  appeal  to  their  rights. 

The  examination  of  1832  assumed  substantially  the  same  character. 
Tiie  resolution,  under  which  the  committee  was  raised,  consisted,  as  origi- 
nally moved,  of  a  large  detail  of  alleged  abuses,  several  of  which  import- 
ed no  violation  of  the  charter.  The  House  adopted  an  amendment  pro- 
posed to  this  resolution  by  a  member  from  Massachusetts,  (Mr.  Adams,) 
in  the  following  terms:  ''  Resolved,  That  a  select  committee  be  appointed, 
to  inspect  the  books,  and  examine  into  the  proceedings  of  the  Bank,  and  re- 
port thereon,  and  to  report  whether  the  provisions  of  the  charter  have  been 
violated  or  not."  I'his  phraseology  appears  to  have  been  derived  from 
the  commencing  words  of  the  report  of  the  committee  of  1818,  which  is  in 
the  same  terms,  and  not  from  tlie  resolution  by  which  that  committee  was 
created,  and  which  provides  that  a  select  committee  be  ai)pointed,  ''to  in- 
spect the  books,  and  examine  into  the  proceedings  of  the  Bank,  and  report 
whether  the  provisions  of  its  cliarter  have  been  violated  or  not,  and  parti- 
cularly to  report"  as  to  several  matters,  all,  or  nearly  all,  of  which 
were  alleged  violations  of  the  charter.  The  amendment  offered  by  the 
member  from  Massachusetts,  (Mr.  Adams,)  and  adopted  by  the  House,  was 
offered  on  the  ground  that  "  tlic  oiiginal  resolution  presented  objects  of 
inquiry  not  authorized  by  tiic  cliarter  of  tlie  Bank,  nor  within  the  legiti- 
mate powers  of  the  House."  But  as  it  directed  the  committee  to  report 
generally  on  the  inoceedings  of  the  Bank,  as  well  as  on  violations  of  the 
charter,  it  was  considered  by  its  mover,  and  by  many  of  those  w  ho  sup- 
jiorted  the  amendment,  as  authorizing  an  inquiry  extending  beyond  viola- 
tions of  the  charter.  The  riglit  to  constitute  an  inquiry  of  this  kind  was 
put  upon  the  ground  that  the  Bank  was  ajiplying  for  a  recharter,  and 
could  not  reasonably  decline  it.  At  that  time,  as  in  1818,  neither  House 
of  Congress  had  assumed  a  hostile  position  to  the  Bank.  Its  directors,  as 
the  event  jiroved,  felt  that  they  could  rely  upon  the  National  Legislature 
to  do  them  justice  against  any  efforts  which  might  be  made  to  impeach 
their  character,  or  arraign  their  conduct.  A])])licants  for  a  recharter, 
they  felt  that  they  could  not  with  propriety  object  to  any  latitude  of  inqui- 
ry which  might  be  demanded  by  a  House  of  Congress  willing  to  grant  a 
recharter,  provided  the  result  of  the  examination  should  be  satisfactory. 
Accordingly,  the  resolution,  as  amended,  was  understood  to  extend,  not 
merely  to  alleged  violations  of  the  charter,  but  to  all  alleged  cases  of  offi- 
cial misconduct ;  and  on  the  ai-rival  of  the  committee  in  Philadelphia,  the 
directors  of  the  Bank,  instead  of  jilacing  themselves  upon  their  rights,  or- 
<lered  the  President  of  the  institution  to  submit  all  its  books  and  papers  to 
the  unconditional  inspection  of  the  cojnmitlec,  and  to  yield  hknself  to  an 


54  [  Rep.  No.  481.  J 

unreserved  examination.  The  inquiry  was  pushed  into  every  matter  oC 
alleged  abuse,  where  it  was  supposed  the  Bank  was  most  vulnerable.  No- 
thing was  spared ;  nothing  was  held  back.  Books  and  papers  were  sub- 
mitted, and  personal  examinations  on  oath  endured,  although  avowedly 
for  the  purpose  of  finding  out,  if  it  existed,  matter  of  inculpation  against  the 
directors.  The  materials  thus  collected  were  spread  before  Congress  and 
the  people,  and  a  majority  of  both  Houses  of  Congress  united  in  the  pas- 
sage of  a  bill  for  rechartering  the  Bank. 

The  President  declined  giving  effect  to  the  will  of  Congress,  and  the  bill 
failed  to  become  a  law.  The  whole  influence  of  the  Executive  was  exerted 
to  the  prejudice  of  the  institution,  and  the  voice  of  the  administration 
press  was  raised  against  it,  with  a  concert  and  vehemence  rarely  equalled. 

Doubts  of  the  safety  of  the  public  deposites  were  now  suggested,  and 
these  doubts  received  some  sanction  from  the  message  of  the  President  at 
the  opening  of  the  second  session  of  the  last  Congress.  An  Executive 
agent  was  appointed  to  investigate  that  subject,  and  the  Committee  of 
"Ways  and  Means,  of  which  a  majority  was  composed  of  members  friendly 
to  the  administration,  engaged  in  the  same  inquiry.  The  agent  and  the 
committee  reported  in  favor  of  the  solvency  of  the  Bank,  and  the  House  of 
Representatives,  by  a  majority  unexampled  on  such  a  question,  resolved  that 
the  public  deposites  could  be  safely  continued  in  the  Bank  of  the  United 
States. 

Notwithstanding  this  vote,  the  President  took  immediate  measures  to 
transfer  the  deposites  to  the  State  banks.  The  character  of  these  mea- 
sures is  known  to  the  House.  The  undersigned  tliink  themselves  safe  in 
saying  that  it  was  such  as  to  cause  the  directors  of  the  Bank  the  greatest 
possible  inconvenience  and  anxiety.  They  were  regarded  as  men  guilty 
of  the  most  criminal  malpractices,  and  justly  obnoxious  to  the  severest 
treatment  which  it  was  in  the  power  of  the  Executive  to  inflict.  To  all 
that  was  oflicially  done,  was  superadded  an  unbroken  strain  of  denuncia- 
tion from  the  Government  press,  and  threats  of  a  purpose  to  break  those 
branches  of  the  Bank  which  were  supposed  to  be  feeble.  At  length, 
without  previous  authentic  notice,  the  deposites  were  removed,  a  short 
time  before  the  assembling  of  Congress.  A  majority  of  members  had 
been  elected  to  the  House  of  Representatives,  in  part  previous  to  the 
adoption  of  this  measure,  wlio  appeared  disposed  to  sustain  the  President  in 
the  policy  he  had  adopted.  By  this  majority  resolutions  were  passed  ex- 
pressive of  their  opinion  that  the  Bank  ought  not  to  be  rechartered,  and 
that  the  deposites  ought  not  to  be  restored.  These  resolutions  were  adopted 
after  a  protracted  debate  on  the  general  merits  of  the  controversy,  in 
■which,  on  the  part  of  those  who  sustained  the  President,  the  most  unwar- 
rantable designs  and  the  most  corrupt  ])ractices  were  freely  ascribed  to 
those  entrusted  with  the  direction  of  the  Bank. 

It  was  under  these  circumstances  that  the  commission  of  inquiry  into 
the  affairs  of  the  Bank  was  instituted.  As  far  as  that  inquiry  was  of  a 
character  in  which  the  Bank  was,  by  the  charter,  bound  to  co-operate,  by 
submitting  its  books  for  inspection,  the  directoi-s  have  fully  recognised  their 
obligation  to  do  so  ;  but  the  undersigned  confess  they  perceive  nothing  in* 
the  circumstances  that  pi'eceded  tlie  inquiry  which  could  furnish  an  induce- 
ment to  the  Bank  to  go  further  than  the  law  requires  of  them.  By  the 
Executive  Go^vernment,  and  the  majority  of  the  House  of  Congress,  their- 


[  Rep.  No.  481.  ]  55 

case  had  been  adjudged.  The  laws  which  the  wisdom  of  two  former  Con- 
gresses enacted  for  erecting  United  States'  Banks,  and  of  which  every  de- 
partment of  the  Government,  under  every  administration  but  the  present, 
has  recognised  the  validity,  have  been  declared  unconstitutional.  The 
present  inquiry  was  not  needed  to  ascertain  if  the  deposites  should  be 
removed  ;  they  were  removed  many  months  before.  It  was  not  needed  to 
ascertain  whether  they  could  safely  be  restored  j  the  House  that  institutes 
it  has  resolved  that  they  ought  not  to  be  restored.  The  Secretary  of  the 
Treasury  is  left,  without  the  instructions  of  the  House,  to  deposite  the  pub- 
lic funds  in  any  other  bank  he  may  please  to  select,  but  the  House  of  Re- 
presentatives has  resolved  that  they  ought  not  to  be  deposited  in  the  Bank 
of  the  United  States.  Although  the  last  Congress,  by  majorities  of  both 
Houses,  decided  that  the  Bank  ought  to  be  rechartered,  and  the  next  Con- 
gress may  be  of  the  same  opinion,  the  present  House  of  Representatives 
has  resolved  to  the  contrary,  and,  therefore,  the  inquiry  was  not  needed 
to  guide  its  judgment  in  the  recharter  of  the  Bank.  Various  misdemean- 
ors are  imputed  to  those  who  direct  the  Bank ;  but  supposing  their  detec- 
tion the  object  of  the  investigation,  every  principle  of  justice  forbids  a  mode 
of  inquiry,  beginning  and  proceeding  in  self-crimination.  The  only  other 
legitimate  object  which  the  undersigned  can  think  of,  is  that  of  collecting 
information  to  guide  the  judgment  of  the  House  in  the  question  of  a  new  bank, 
to  be  established  on  the  ruins  of  the  present  institution.  The  directors  of 
the  Bank,  in  the  opinion  of  the  subscribers,  may  be  safely  expected,  on  all 
occasions,  to  do  the  duty  of  public  spirited  men  to  their  country  :  but  no 
principle  of  public  duty  fairly  calls  upon  them  to  go  further  than  the  law 
requires  them,  in  making  themselves  the  subjects  of  a  criminatory  inquisi- 
tion, with  a  view  to  build  up  an  institution  to  discharge  that  public  trust  to 
which  they  have  been  declared  unfaithful,  by  those  instituting  the  inquiry 

It  is  also  to  be  recollected  that  two  years  had  scarcely  elapsed  since  the 
former  inquiry,  on  which  the  directors  of  the  Bank  had  not  attempted  to 
impose  any  limitations  ;  and  that  inquiry  had  resulted  so  entirely  to  the 
satisfaction  of  the  two  Houses,  that  they  passed  a  bill  for  renewing  the 
charter  of  the  Bank.  It  requires  no  words  to  show  that  such  an  examina- 
tion must  be  highly  inconvenient  to  the  officers  of  the  Bank,  and  incom- 
mode them  in  the  orderly  discharge  of  their  duties.  Still-  graver  incon- 
venience may  be  expected  to  result  from  the  effect  on  the  public  mind,  in 
reference  to  the  Bank,  which  may  be  produced  by  the  recurrence  of  such 
visitations.  In  the  progress  of  the  controversy  waged  with  the  Bank,  a  few 
new  matters  of  detail  may  perhaps  have  been  alleged  against  it  since  the 
report  of  the  former  committee,  but  many  of  the  matters  of  general  incul- 
pation now  brought  forward  are  those  sifted  to  the  bottom  by  that  commit- 
tee, and  none  of  them  possess  a  novelty  and  importance  furnishing,  in  the 
judgment  of  the  undersigned,  an  equitable  ground  for  a  new  investigation. 
Is  there  to  be  no  end  to  visitations  ?  The  House  has  the  undoubted  right 
to  institute  them  as  often  as  it  pleases — every  year,  and  every  month  ;  but 
if  they  are  multiplied  unreasonably,  the  directors  of  the  Bank,  as  it  seems 
to  the  undersigned,  ai-e  not  to  be  blamed  if  at  length  they  put  themselves 
upon  their  rights,  decline  to  become  voluntary  parties  to  these  investiga- 
tions, and  submit  to  them  only  as  far  as  the  charter  requires. 

These  considerations  led  the  undersigned  to  the  opinion  that  the  Com- 
mittee of  the  Directors  of  the  Bank  were  justified  in  the  course  adopted  by 


56  [  Rep.  No.  481.  J 

them  on  this  occasion.  If,  on  a  question  of  law  so  grave  and  delicate,  the 
Committee  of  the  Directors  should  Ijave  come  to  an  erroneous  conclusion, 
(which  the  undersigned,  however,  do  not  admit  to  be  the  case,)  it  would 
seem  an  undue  severity  to  consider  and  to  treat  such  error  in  judgment  as 
acontempt  of  the  autliority  of  the  House. 

6.  This  reflection  leads  the  undersigned  to  a  few  observations  on  the 
various  calls  for  copies  or  ])ortions  of  the  books,  statements,  documents, 
abstracts,  and  other  pa])ers.  wliich,  at  diflerent  times,  were  made  on  the 
Bank  by  resolutions  of  the  committee.  These  resolutions  were  numerrtus, 
and  covered  a  wide  range  of  inquiry  of  the  most  miscellaneous  character. 
A  portion  of  tiicm  aie  believed  to  call  for  documents,  in  whole  or  in  part, 
ali'eady  communicated  to  Congress,  and  published  ;  another  portion  re- 
lating to  matters  which  could  not  be  stated  without  great  labor  of  compi- 
lation, and  a  resort  to  sources  of  knowledge  not  necessarily  nor  officially 
in  the  possession  of  the  Bank.  Some  of  the  calls  referred  to  matters  with 
respect  to  which  no  desire  of  concealment  could,  on  any  hypothesis,  be  im- 
j)utcd  to  the  Bank  ;  others  related  to  concerns  (as  the  undersigned  will 
presently  show)  involving  the  highest  confidence  of  individuals,  and  not 
to  be  divulged,  except  under  legal  compulsion,  without  the  grossest  breach 
of  faith. 

The  answer  of  the  Committee  of  the  Directors  to  these  requisitions  was 
in  the  following  terms  : 

Eesolred,  Tliat  the  Board  do  not,  feel  themselves  at  liberty  to  comply 
^vith  the  requirement  of  the  resolutions  of  the  Committee  of  Investigation 
of  the  29th  ult.  and  1st  inst,  and  do  not  think  they  are  bound  to  do  so, 
inasmuch  as,  in  respect  to  a  part  of  the  papers  called  for,  the  effect  would 
be  the  same  as  the  surrender  of  their  books  and  papers  to  a  secret  and  ex 
/)arfe examination,  which  they  have  already  refused  to  consent  to  ;  and  as 
to  the  other  part,  they  relate  to  matters  over  which  the  Buard  have  no 
control ;  and  if  they  could  overcome  these  objections,  and  had  the  power 
over  all  the  papers,  still  it  would  be  impossible  for  them  to  comply  within 
any  reasonable  time,  having  ascertained,  by  a  careful  examination,  that 
the  copies  and  statements  called  for  by  the  resolutions  of  the  29th  ultimo, 
'alone,  would  i-equire  the  unintejrupted  labor  of  two  clerks  for  at  least  ten 
months,  to  make  tiiem  out,  and  that  tiiei-emaining  resolutions,  so  far  as  they 
concern  matters  not  beyond  the  reach  of  the  Board,  would  require  great 
additional  time,  which  they  are  not  able  exactly  to  compute,  without  caus- 
ing, what  they  feai',  would  be  an  inccmyenient  delay  to  the  Committee  of 
Investigation  ;  and  they  take  it  for  granted  that  it  would  no  more  comport 
W'ith  the  views  of  the  Committee  of  Investigation  to  wait  till  so  distant  a 
period,  than  it  would  with  the  ^rights  of  the  Bank,  to  have  such  a  burden 
imposed  upon  it. 

If  the  application  of  the  Committee  of  the  House  be  regarded,  according 
to  its  terms,  as  a  mere  request,  it  was  of  course  competent  to  the  directors 
respectfully  to  decline  a  compliance  witi)  it.  It  can  be  n.)  contemj>t  of 
of  the  House,  nor  even  matter  of  complaint  or  ground  of  prejudice,  that 
any  request,  which  is  merely  such,  is  respectfully  declined  by  the  party 
to  which  it  is  addressed.  But  the  Comn>ittee  of  the  Directors  appear  to 
liave  regai-ded  it  as  a  matter  of  duty,  not  to  return  a  naked  refusal  to  the 
requisition  of  the  Committee  of  luvestigaticni.  The  reasons  of  this  refusal 
are  stated,  and  they  appear  to  tlie  undersigned  to  be  valid.  Reference  to 
the  resolutions  in  the  appendix  will  enable  the  House  to  judge  of  this  mat- 


f  Rep.  No.  481.  J  57 

ter.  The  reasons,  as  has  been  seen,  are,  that  to  comply  with  a  part  of 
these  resolutions  would  be,  in  effect,  to  copy  or  abstract  an  essential  part 
of  some  of  the  books  of  the  Bank,  in  order  to  their  being  made  the  subjects 
of  a  private  and  ex  parte  examination  ;  a  measure  so  mucli  the  more  ob- 
jectionable, as  it  would  add  the  inconvenience  of  preparing  the  co])y  to  all 
the  other  evils  incident  to  such  inspection.  Another  portion  of  the  calls 
relateti  to  matters  of  fact,  in  no  way  appearing  on  the  books  of  the  Bank, 
and  not  to  be  ascertained  but  from  sources  of  information  no  moi-e  accessi- 
ble to  the  directors  than  to  any  other  individual.  These  objections  were 
of  themselves,  pa!-ticularly  the  first,  decisive.  In  addition  to  this,  it  ap- 
peai-ed,  from  a  careful  examination  instituted  for  that  purpose,  that  the 
ansv^ers  to  the  first  series  of  calls  could  not  be  prepared  without  the  unin- 
terrupted labor  of  two  clerks  for  at  least  ten  months. 

Tlie  undersigned  are  unwilling  to  take  up  the  time  of  the  House  by  a 
particular  examination  of  each  of  tije  resolutions,  but  they  feel  themselves 
required  to  express  their  opinion  of  a  poition  of  them.  They  will  refer 
first  to  those  which  call  for  information  touching  the  transactions  of  mem- 
bers of  Congress  with  the  Bank  of  the  United  States,  and  tiie  correspond- 
ence of  members  of  Congress  with  officers  of  the  Bank. 

One  of  the  resolutions  alluded  to  is  in  the  following  terms  :  "Resolved, 
That  the  President  and  Directors  of  the  Bank  be  requested  to  furnish  the  com- 
mittee with  copies  of  all  correspondence  between  the  President  of  the  Bank  or 
any  of  its  officers  and  members  of  Congress,  or  of  unanswered  letters  re- 
ceived from  any  one  of  them  since  the  fust  day  of  July,  1832,  touching 
the  renewal  of  the  charter  of  the  Bank,  the  removal  or  restoration  of  the 
public  deposites,  or  touching  the  business  transactions  of  such  members 
with  said  banks." 

Another  of  the  resolutions  alluded  to  is  in  the  follow  ing  terms  : 

*^  Resolved,  That  the  President  and  Directors  of  the  Bank  he  requested 
to  furnish  this  committee  with  a  detailed  statement  of  all  loans  made  since 
the  1st  of  January,  1829,  to  individuals,  who  then  were,  who  have  been 
since,  and  who  now  are,  members  of  Congress,  stating  the  amount  of  each 
loan,  when  the  same  was  made,  for  what  term  the  security  was  given,  and 
the  time  when  such  security  was  received  ;  and  also  the  security  which  the 
Bank  now  holds,  and  the  amount  now  ow  ing  by  any  and  eacii  of  such  bor- 
rowers, or  other  j)erson  for  the  benefit  of  such  boirowers,  at  the  Bank,  or 
either  of  the  branches  ;  and  stating,  also,  the  particulars  of  any  such  loans 
which  have  been  protested,  or  w  hich  are  now  under  protest,  and  the  names 
of  the  parties  to  any  such  debts;  also,  the  names  (if  any)  of  any  such 
])ersons,  whose  notes  have  been  renewed  after  the  same  had  become 
due  and  not  j)rotested  or  renewed,  with  the  names  of  individuals,  par- 
ties to  said  renewals,  whose  notes  were  under  pi'otest  at  the  time  such 
renewals  were  made ;  and,  also,  whether  such  loans  in  each  case  were 
made  by  the  directors  or  otherwise,  and  by  what  authority." 

The  undersigned  suj)posc  it  imj)ossible  to  mistake  the  general  purport  of 
calls  like  theso,  Fi'oin  their  minuteness  (>f  specification,  they  may  be 
supposed  to  aim  at  paiiicular  individuals.  Of  any  such  reference  the  un- 
dersigned are  without  accurate  knowledge;  and  nothing  is  further  from 
their  design  than  to  impute  to  their  i-espected  colleagues  the  pursuit  of  any 
unparliametitary  or  improper  ol)ject.  They  cheeifully  concede  to  them 
what  they  claim  for  themselves,  to  have  acted  with  a  single  eye  to  public 
8 


58  [  Rep.  No.  481.  ] 

duty,  in  their  apprehension  of  it.  But  the  undersigned  are  free  to  confess, 
that  they  regard  the  undeniable  purport  of  resolutions  like  those  repeated  as 
highly  objectionable.  They  seem  to  them  to  convey  a  general  insinuation 
out  of  place,  above  the  region  of  the  partisan  press.  The  charge  suggested 
is  that  of  bribery  and  corruption  so  common  as  to  authorize  a  general 
search.  Tliis  is  a  crime  unquestionably,  which  may,  if  sufficient  grounds 
exist,  be  rightfully  charged  on  any  director  of  the  Bank,  or  member  of 
Congress ;  but  which  the  undersigned  regard  as  far  too  serious  to  be  thus 
charged,  without  such  strong  grounds  of  presumption.  It  is  true  that  it 
might  seem  gratuitous,  in  the  undersigned,  to  be  over  forward  in  repel- 
ling such  a  charge.  In  the  existing  division  of  parties,  they  and  their 
political  friends  are  not  found  on  that  side  of  the  House,  which  it  was  ne- 
cessary for  the  Bank  to  buy  or  bribe.  The  honorable  and  high-minded 
men  who  compose  the  majority  in  the  House,  politically  attached  to  the 
administration,  and  opposed  to  the  Bank,  do  not  need  the  aid  of  the  under- 
signed, to  show  the  injustice  of  a  general  imputation  upon  their  characters. 
But  something  unquestionably  is  due  to  the  general  reputation  of  the  two 
Houses  of  Congress.  If  individuals  are,  on  clear  grounds,  suspected  of 
being  thus  corrupted  ;  if  the  Bank,  on  reasonable  grounds,  is  suspected  of 
this  highest  breach  of  privilege,  let  tlie  individuals  criminated  be  named; 
the  charge  be  stated  in  form  ;  the  culprit  brought  to  tlie  bar  of  the  House  ; 
and  the  guilty  punished.  But  let  not  the  wliole  body  of  both  Houses  be  in- 
volved in  one  indiscriminate  and  odious,  because  vague  and  anonymous 
delation. 

As  for  the  call  for  the  correspondence  of  all  members  of  Congress  w  itii 
the  Bank  for  the  last  two  years,  and  particularly  for  copies  of  all  unan- 
swered letters,  the  undersigned  could  not  but  regard  It  with  painful  feel- 
ings. Public  life,  already  sufficiently  discredited  by  the  fierceness  of  par- 
ty warfare,  will  cease  to  be  a  pursuit  for  those  who  have  not  lost  all  taste 
for  the  social  charities,  if  the  sanctuary  of  private  intercourse  and  pri- 
vate corresjjondence  is  to  be  invaded  at  pleasure,  and  every  letter,  answered 
or  unanswered,  which  may  have  been  written  by  an  individual  who  has 
the  misfortune  to  be  a  member  of  Congress,  (for  a  great  misfortune  under 
such  circumstances  it  would  be,)  is  subject  to  be  brought  up  by  the  drag- 
net of  a  general  search.  It  was  declared  by  Mr.  Dunning,  in  the  famous 
case  of  Money  and  others  against  Leach,  that  *'  to  ransack  private  studies, 
in  order  to  search  for  evidence,  and  even  without  a  previous  charge  on  oath, 
is  contrary  to  natural  justice,  as  well  as  to  tlie  liberty  of  the  subject.  To 
search  a  man's  private  papers  ad  libitum,  and  even  without  accusation,  is 
an  infringement  of  the  natural  rights  of  mankind."  (3  Bur.  1762.)  It 
was  not  the  least  detestable  of  the  cruel  violations  of  justice  and  law  which 
brought  Sidney  to  the  block,  that  he  jjerished  in  consequence  of  the  dis- 
covery of  a  manuscript  political  treatise,  brought  to  light  by  a  general 
search  among  the  papers  in  his  cabinet.  The  undersigned  perceive  no  more 
right  in  a  Committee  of  this  House  to  call  for  the  letters  which  may  have 
been  written  by  a  member  of  Congress  to  an  officer  of  the  Bank,  on  the 
subject  of  a  renewal  of  the  charter,  than  to  call  for  his  letters  to  any  other 
person  on  any  other  subject.  Undoubtedly  it  is  conceivable  that  such  a 
letter  might  become  legal  evidence,  in  a  process  of  attachment,  for  breach 
of  privilege,  and  in  that  case  might  be  called  for  and  used.  So  might  any 
letter  in  any  criminal  cause.  It  is  conceivable  that  a  man's  letter  to  his 
wife  or  child  might  become  legal  evidence  in  a  capital  trial  ;  and  in  tiiat 
case,  if  it  were  in  the  possession  of  a  third  person,  the  court  would  com- 


L  Rep.  No.  481.  J  5^ 

pel  its  produGtion.  But  the  undersigned  are  of  opinion  that  a  generat 
warrant  to  compel  the  production  of  all  the  letters  wliich  may  liave  been 
writtenbyaclassofindividualsfortwo  years,  in  order  toasearchof  the  same, 
with  a  view  to  the  institution  of  a  criminal  prosecution  against  the  writers 
or  receivers,  is  now  for  the  first  time  attempted  to  be  made,  in  virtue  of  the 
authority  of  a  parliamentary  body. 

It  is  one  of  the  infirmities  of  our  nature,  that,  in  the  ardent  pursuit  of 
ends,  which,  as  individuals  or  members  of  a  party,  we  think  justifiable,  we 
sometimes  go  far  beyond  the  line  of  justice,  as  we  should  understand  it  in 
our  own  case.  To  those  who,  in  the  ardor  of  a  protracted  controversy, 
have  become  wrought  up  to  the  belief  that  the  Bank  and  all  its  otfices  are 
one  great  engine  of  corruption,  and  those  who  have  defended  its  chartered 
rights  and  maintained  its  usefulness,  in  and  out  of  Congress,  a  band  of 
mercenary  stipendiaries,  it  may  seem  a  very  just  and  proper  demand  that 
the  confidence  of  their  private  intercourse  should  be  violated,  their  busi- 
ness transactions  stigmatized  with  corruption  before  the  world,  and  their 
private  correspondence  spread  on  the  journals  of  a  Committee  of  the  House, 
and,  at  their  discretion,  sent  to  the  newspapers.  But  if,  pausing  a  moment 
in  the  career  of  party,  they  will  make  the  case  their  own  ;  suppose  tliem- 
selves  at  the  mercy  of  those  now  in  the  minority,  wielding  against  them 
the  entire  authority  of  the  House,  sending  its  committees  to  unlock  their 
closets,  and  requiring  the  production  of  every  letter  they  may  have  writ- 
ten on  public  affairs  for  years,  they  will  probably  form  a  new  conception 
of  the  light  in  which  the  calls  now  under  consideration  are  regarded  by 
those  against  whom  they  were  aimed,  if  any  such  there  be. 

The  undersigned  would  make  a  reflection  somewhat  similar,  in  refer- 
ence to  the  call  for  the  amount  of  fees  paid  to  counsel  for  legal  advice 
given  to  the  Bank,  and  the  accommodations  received  at  the  Bank,  by  edi- 
tors and  publishers  of  newspapers  and  periodical  works.  It  will  not  be 
denied  that  there  is  an  imputation  of  corrujjtion  in  calls  like  these;  for  it 
cannot  be  pretended  that,  mei-ely  as  a  part  of  the  business  transactions  of 
the  Bank,  the  sums  which  would  fall  under  these  heads,  in  any  estimate, 
however  extravagant,  of  their  amount,  could  be  of  any  interest  to  Con- 
gress. Why  then  are  they  singled  out  ?  There  is,  of  course,  in  collecting 
the  vast  amount  of  debt  constantly  falling  due  to  the  Bank,  and  in  carry- 
ing on  its  large  concerns,  continual  need  of  legal  advice  and  professional 
service.  Is  it  disreputable  to  seek  this  advice  and  service,  and,  having 
received  them,  to  pay  for  them  ?  Is  the  ])rofession  of  the  law  fairly  ob- 
noxious to  the  stigma,  which  the  resolution  implies,  on  those  of  its  mem- 
bers who  transact  the  business  of  the  Bank  ?  Are  mere  partisan  insinu- 
ations, fabricated  with  all  the  levity  and  cruelty  of  an  unscrupulous  press, 
sutRcient  ground  for  the  virtual  denunciation  and  proscription  of  a  whole 
profession  ?  The  undersigned  forbear  to  insist  on  the  protection  which 
the  law  gives  to  the  intercourse  of  lawyer  and  client,  aiid  which,  they  be- 
lieve, would  protect  the  Bank  from  this  search  into  the  relations  which 
exist  between  it  and  counsel  employed  in  transacting  its  business. 

Nor  do  the  undersigned  think  the  profession  of  editors  and  publishers,  of 
right,  more  obnoxious  to  the  ini[)utation  of  cori'uption,  on  the  ground  of 
business  transactions  with  the  Bank.  The  nature  of  their  business  re- 
quires bank  accommodation  as  much  as  any  other.  The  undersigned 
do  not  perceive  that  they  are  more  likely  than  any  other  class  of  citizens 
to  be  corruptly  influenced  by  the  accommodations  they  receive.  If  they 
were,  it  is  doubtful,  as  matter  of  fact,  whether,  with  an  exclusive  eye  to 


60  [  Rep.  No.  48t.  ] 

the  accommodations  afforded  by  all  the  banks  in  the  country,  and  to  the 
influences  under  which  they  are  dispensed,  it  would  be  a  better  calculation, 
at  the  present  day,  to  defend  or  to  attack  the  Bank  of  the  United  States. 
One  thing  is  certain,  that  the  editor  who  defends  the  Bank  of  the  United 
States,  may  be  consideied  fiee  fiom  the  suspicion  of  having  an  eye  to  po- 
litical patrofiage,  a  source  of  corruption,  when  abused,  aspoweriul,  to  say 
the  least,  as  the  favor  of  a  mere  moneyed  institution. 

7.  But  the  undersigned  hasten  to  exj)ress  theii*  views  on  the  last  step 
which  was  taken  by  the  committee  towards  the  disciiaige  of  their  duty  ; 
in  many  respects,  the  most  important  of  all.  On  the  9th  day  of  May,  a 
copy  of  a  process,  someN^hat  of  the  chaiacter  of  a  subpana  duces  tecum, 
and  which  may  be  seen  in  the  appendix,  No.  47,  addressed  to  B.  S.  Bon- 
sall.  marslial  of  the  eastern  district  of  Pennsylvania,  was  served  upon 
Nicholas  Biddle,  President,  Emanuel  [Manuel]  Eyre,  Matthew  Newkirk, 
John  Sergeant,  Charles  Chauncey,  John  S.  Henry,  John  R.  Neff,  Ambrose 
White,  Daniel  W.  Coxe,  John  Goddard,  James  C.  Fisher,  Lawrence 
Lewis,  John  Holmes,  and  William  Piatt,  directors  of  the  Bank  of  the 
United  States,  commanding  the  said  Bonsall  to  summon  them  to  be  and 
appear  before  the  Committee  of  the  House  of  Representatives  of  the  United 
States,  appointed  on  the  4th  day  of  April,  1834,  in  their  chamber  in  the 
North  American  hotel,  in  the  city  of  Philadelphia,  and  to  bring  with 
tliem  the  credit  books  of  said  Bank,  on  the  lOth  day  of  May  instant,  at 
the  hour  of  12  M.,  then  and  there  to  testify  touching  the  matters  enume- 
rated in  the  said  resolution,  and  to  submit  said  books  to  said  committee  for 
inspection. 

The  undersigned  entertained,  and  still  entertain,  great  doubts  of  the 
legality  of  this  process.  The  inquiry  alluded  to  in  the  process  is,  among 
other  things,  into  "the  abuses,  coi-ruptions,  and  malpractices  of  the  Bank," 
that  is,  the  crimes  and  misdemeanors  of  its  officers  and  directors  ;  and  the 
process  just  recited  is  intended  to  be  a  summons  to  a  majority  of  the  di- 
rectors and  the  chief  officer  of  the  Bank  to  appear  and  testify,  as  indivi- 
duals, to  the  matters  of  that  inquiry  ;  that  is,  to  their  own  ciimcs  and  mis- 
demeanors, with  a  view,  as  the  resolution  of  the  committee  expressed  it, 
of  inquiring  "whether  such  prosecution  [viz.  a  criminal  prosecution] 
should  be  instituted."  The  undersigned  have  already  argued  at  length, 
and  attempted  to  show,  that  the  power  reserved  in  the  charter,  of  sending 
a  committee  to  inspect  the  books  and  examine  the  ])rocec(lings  of  the  Bank, 
and  report  whether  its  charter  liad  been  violated,  conferred  no  right  of 
compelling  the  production  of  the  books  out  of  the  Bank,  and  the  appear- 
ance ofthe  directors,  to  submit  to  an  examination  on  oath  as  to  their  innocence 
or  guilt,  of  the  unspecified  ciimes  and  misdemeanors  laid  to  their  charge. 
In  like  manner  the  undersigned  have  expressed  their  decided  conviction 
that  tiie  general  power  of  inquiry  possessed  by  the  House  can  have  no 
riglitfiil  extension  to  a  case  like  this.  It  follows,  by  necessary  conse- 
quence, that  no  process,  having  for  its  object  to  compel  the  directors  to 
appear  bcfoie  the  committee,  and  bring  with  them  the  books  of  the  Bank 
to  be  inspected,  and  to  testify  touching  the  matters  of  such  an  inquiry, 
could  be  legal.     The  object  of  the  process  was  unauthorized  by  law. 

Incident  to  this  fatal  objection  to  the  ])rocess,  is  another  not  less  so.  A 
subpoena  duces  tecum  is  a  process,  not  issuing  to  the  party  criminated  or 
implicated  in  the  trial,  or  interested  in  the  suit,  but  to  a  third  person  to 
appear  and  bring  with  him  any  paper  in  his  possession,  which  may  be  law- 


[  Rep.  No.  481.  J  61 


fully  used  as  evidence  in  the  trial  or  suit,  without  prejudice  to  the  person 
summoned,  or  his  title.  The  process  of  the  committee  was  intended  to  be 
addressed  to  tliose  whose  abuses,  corruptions,  and  malpractices  were  the 
subjects  of  inquiry  ;  and  the  book,  tiiey  were  ordered  to  bring  with  them, 
was  to  be  used  in  their  own  crimination. 

The  form  of  the  process,  and  its  mode  of  service,  are  believed  by  the  un- 
dersigned to  be  not  less  objectionable  than  its  object,  and  equally  fatal  to  its 
legal  character  ;  but  on  this  topic  they  omit  to  dwell. 

Notwithstanding  the  strong  objections  to  its  legality,  the  persons  to 
whom  it  was  addressed,  individuals  unsurpassed  for  probity,  intelligence, 
and  weight  of  character  in  the  community,  treating  it  with  the  respect  due 
to  the  House  of  Representatives,  obeyed  its  call,  and  appeared  before  the 
committee  at  their  chamber  in  the  North  American  hotel.  Their  answer 
to  the  summons  was  communicated  in  writing,  and  appears  among  the  do- 
cuments as  paper  No.  48.  'I'hey  state  therein  that  they  do  not  produce 
the  books  of  the  Bank,  because  they  are  not  in  the  custody  of  eitiier  of 
them,  but  in  that  of  the  Board  of  Directors.  By  the  Board,  it  will  be  re« 
collected,  the  books  had  been  confided  to  a  committee  of  their  number,  to 
be  by  them  submitted  to  the  Committee  of  Investigation.  If  it  were  the 
purpose  of  the  Committee  of  the  House  to  address  their  process  to  tiie  party 
having  the  actual  possession  of  the  books,  it  would  seem  that  the  Committee 
of  the  Directors  was  that  party  delegated  by  the  Board,  and  recognised 
throughout  the  transaction  as  their  agent,  by  the  Committee  of  the  House. 
If,  on  the  other  hand,  it  were  intended  to  address  it  to  the  party  to  whom 
the  books  ultimately  belonged,  it  would  seem  that  it  should  have  gone  to 
the  corpoi-ation. 

The  written  answer  of  the  directors  (after  stating  their  ignorance,  whether 
they  should  be  called  on  to  testify,)  expressed  a  purpose  not  to  testify  to 
the  matters  of  the  inquiry,  in  considerati(»n  of  the  character  of  the  inquiry, 
and  their  own  relation  to  it,  as  corporators  and  directors.  But  as  none  of 
the  persons  summoned  were  required  by  the  committee  to  testify,  no  actual 
refusal  to  testify  took  place,  and  consequently  no  contempt  (supposing  an 
actual  refusal  would  have  been  such  contempt,  which  the  undersigned  do 
not  admit)  was  committed  by  the  diiectors  against  the  authority  of  the 
House. 

The  undersigned  are  aware  that,  supposing  the  process  valid  in  its  object^ 
substance,  form,  and  service,  it  was  matter  of  indifference,  as  far  as  the 
question  of  right  is  concerned,  what  book  or  books  the  directors  were  re- 
quired by  it  to  produce.  But  they  cannot  but  express  the  opinion,  that  a 
demand  for  the  credit  books  of  the  Bank,  sliowing  the  accounts  of  every  in- 
dividual w  iih  the  institution,  was  tiie  last  which,  in  a  tender  regard  to  the 
rights  and  feelings  of  third  persons,  it  would  have  been  expedient  to  make. 

So  sacred  is  tlie  confidence  of  individuals  dealing  with  tiie  Bank,  that 
the  charter  exempts  the  state  of  their  accounts  from  the  weekly  inspection, 
which  the  Secretary  of  the  Treasui-y  is  authorized  to  make,  and  the  by- 
laws, whicli  have  been  in  force  from  tl»e  foundation  of  the  institution,  forbid 
a  director,  without  sj)ecial  authority,  to  inspect  the  cash  account  of  indi- 
viduals. To  recjuire  tlie  directors  to  take  from  the  banking  house,  convoy 
througli  the  i)ublic  street,  and  open  for  inspection  in  the  chamber  of  a  liotel, 
the  book  containing  the  account  of  every  individual  with  the  Bank,  would 
seem  to  indicate  the  purpose  of  putting  to  the  severest  test  the  power  of  the 
House,  the  obedience  of  the  Bank,  and  the  patience  of  innocent  third  par- 
ties whose  vital  interests  might  be  jeoparded  in  this  prQcedure. 


62  [  Rep.  No.  481.   | 

The  previous  demands  of  the  committee  having  assumed  the  form  of  re- 
quests, could  only  be  objected  to  in  their  spirit  and  tendency.  There  is 
nothing  which  a  committee  authorized  to  inquire,  may  not  request,  because 
there  is  no  request,  which,  as  such,  may  not  be  refused.  The  law  knows 
nothing  of  requests  ;  their  refusal  puts  no  one  in  contempt.  But  the  pro- 
cess now  under  consideration  assumes  the  form  of  a  legal  and  compulsory 
instrument,  authenticated  by  the  seal  of  the  House,  ami  the  signature  of 
the  Clerk.  Obedience  to  such  an  instrument,  (if  it  is  lawfully  issued,)  can 
be  compelled  against  all  obstacles  and  opponents,  and  those  who  maintain 
its  legality,  must  maintain  the  power  of  enforcing  it.  How  shall  it  be  en- 
forced, in  case  it  is  disobeyed  and  resisted  ?  Shall  the  Sergeant-at-Arms 
be  sent  to  attach  the  diiectors  ?  Shall  they  be  brought  prisoners  to  the 
seat  of  Government,  and  the  bar  of  the  Housej  attached  for  refusing  to 
produce  and  bring  tlieir  books  to  the  North  American  hotel,  and  for  avowing 
a  purpose  (which  was  not  put  to  the  test)  not  to  submit  to  an  examination 
on  oath,  touching  their  own  crimes  and  misdemeanors  ?  A  satisfactory 
answer,  consonant  to  reason  and  justice,  and  grounded  on  the  constitution 
and  laws  of  the  United  States,  must  be  found  to  this  question,  by  all  persons 
ivho  maintain  the  validity  of  the  process  issued  by  the  committee. 

That  such  a  process  is  no  subpoena  (hices  tecum,  is  obvious  from  the 
fact  that  it  is  addressed  to  the  parties  implicated.  It  is  no  process  in  chan- 
cery, requiring  a  party  to  produce  his  books  and  papers  ;  for  its  avowed 
object  is  to  inquire  whether  "a  criminal  prosecution  shall  be  instituted  ;'* 
an  object  for  which  the  Chancellor  will  require  no  man  to  produce  his  pa- 
pers. Unlike  any  of  the  processes  known  to  the  humane  jurisdiction  of  the 
present  day,  it  is,  in  their  most  odious  features,  identical  with  the  general 
warrants  of  the  dark  ages  of  English  liberty,  and  the  writs  of  assistance 
which  first  kindled  the  spirit  of  resistance  in  the  American  colonies.  It  is 
a  compulsory  process,  to  comjjel  the  good  peo])le  of  the  United  States  to 
produce  their  books  and  papers,  and  submit  tiiem  to  general  search  in  proof 
<jf  crimes  not  charged  but  suspected  ;  to  be  enforced  by  attachment,  im- 
prisonment, and  infinite  distress  ; — a  search  of  books,  a  search  of  papers,  a 
search  of  accounts,  a  search  of  letters,  and  an  examination  on  oath  of  the 
persons  implicated,  touching  the  matters  whereof  they  are  suspected.  In  what 
does  such  a  warrant  differ  from  those  which  were  issued  under  the  First 
Charles  and  the  Second  James,  for  which,  among  other  things,  Scroggs  was 
impeached;  and  which  the  House  of  Commons,  in  1763,  after  full  argument, 
solemnly  resolved  to  be  illegal  ?  Illegal  for  a  Court  of  King's  Bench  in 
1684,  illegal  in  the  judgment  of  the  House  of  Commons  in  1763,  the 
undersigned  are  slow  to  believe  that  an  American  House  of  Representatives, 
in  1834,  will  be  found  to  assert,  or  an  American  citizen  to  admit,  their 
legality. 

In  conclusion,  the  undersigned  would  observe,  that  neither  of  them  gave 
liis  voice  for  the  resolution  creating  the  committee,  nor  deemed  the  inquiry, 
in  many  of  its  objects,  necessary  or  jjroper.  They  hope  it  is  not  impro- 
per to  add  the  expression  of  the  opinion  tliat,  had  the  attention  of  the  House 
been  particularly  drawn  in  debate  to  the  terms  of  the  resolution,  it  would 
have  received  some  modification  ;  and  that  it  is  owing  to  its  passage  under 
the  operation  of  the  previous  question,  and  without  any  examination  of  its 
details,  that  it  received,  in  its  present  form,  the  sanction  of  the  House. 
Being,  however,  placed  on  the  committee,  the  undersigned  were  desirous 
of  discharging  tlieir  duty  as  members  of  it,  under  the  order  of  the  House, 


[  Rep.  No.  481.   I  63 

to  the  best  of  their  ability,  and  according  to  their  understanding  of  the 
rights  of  the  corporation  visited — the  powers  of  the  House,  and  the 
principles  of  justice.  They  were  desirous  of  taking  up  the  various  matters 
of  inquiry  enumerated  in  the  resolution,  viz.  the  causes  of  the  distress, 
the  alleged  violations  of  the  charter,  and  the  imputed  corruptions  of  the 
Bank,  one  by  one  ;  of  considering  them  in  the  order  in  which  they  are  ar- 
ranged by  the  House ;  of  investigating  each  according  to  its  nature ;  of 
inspecting  the  books  and  examining  the  proceedings  of  the  Bank  according 
to  the  charter,  that  is,  in  reference  to  all  objects  which,  by  the  charter, 
are  properly  subjects  of  such  inspection  and  examination  ;  or  in  regard  to 
which  the  directors  might  voluntarily  submit  them  for  inspection  ;  and  of 
inquiring  into  the  other  matters  referred  to  them,  as  far  as,  on  considera- 
tion, they  should  deem  the  committee  competent  to  do  so. 

Of  all  these  objects,  the  undersigned  confess  that  they  regarded  that 
which  stands  foremost  in  the  resolution  as  vastly  the  most  important ;  an 
inquiry  into  the  causes  of  the  present  distress.  It  was  their  i^rm  persua- 
sion that  the  country  demanded  this  inquiry  of  Congress.  A  number  of  me- 
morials and  of  subscribers  to  them,  greater  by  far  than  have  at  any  former 
period  come  before  Congress,  invoked  the  aid  of  the  National  Legislature  to 
relieve  them  from  a  state  of  unexampled  distress.  An  embarrassment  unu- 
sually extensive  and  severe,  and  not  yet  essentially  alleviated,  demanded 
an  inquiry  into  its  causes.  It  was  alleged,  on  the  one  hand,  to  be  wan- 
tonly produced  by  the  Bank  ;  and,  on  the  other,  to  be  the  unavoidable  con- 
sequence of  the  financial  policy  pursued  by  the  Executive.  The  under- 
signed wished  to  make  this  the  first,  as  it  was  infinitely  the  most  important 
object  of  their  investigations  ;  to  receive  the  testimony  of  enlightened  mer- 
chants and  men  of  business,  in  the  intelligent  community  to  which  tliey 
were  sent,  (who  might  be  willing  to  appear  before  them,)  as  to  the  extent 
iind  causes  of  the  distress  ;  to  receive  from  the  Bank  those  statements  of 
its  affairs,  which  they  are  well  persuaded  it  would  most  cheerfully  have 
afforded,  and  which  would  have  illustrated  its  whole  course  in  the  difficult 
and  ti'ying  position  into  which  it  has  been  thrown  ;  and  from  all  other 
persons,  on  whom  the  committee  would  have  had  a  right  to  call,  their  testi- 
mony as  to  the  manner  in  which  this  measure  of  the  Executive  has  been 
taken  up  and  carried  on.  Such  an  examination,  the  undersigned  believe, 
would  have  been  useful  to  Congress  ;  satisfactory  to  the  people  ;  and  pow- 
erfully efficient  in  leading  to  the  removal  of  the  heavy  burdens  now  lying 
on  them.  This  object  first  accomplished,  as  it  was  the  first  in  the  pre- 
cept of  the  House,  the  undersigned  would  have  proceeded  to  consider  the 
violations  of  the  charter  ;  and  as  the  resolution  of  the  House  does  not  con- 
fine the  inquiry  to  those  violations  with  which  the  Bank  has  been  charged, 
they  would  have  deemed  themselves  authorized  to  extend  their  researches 
to  those  of  which  the  Bank  complains,  particularly  to  the  removal  of  the 
deposites  fov  reasons  not  deemed  satisfactory  by  Congress,  as  now  appears 
of  record  on  the  journal  of  one  of  the  Houses  j)f  Congress.  If,  after  these  in- 
quiries had  been  gone  through,  it  had  still  apjieared,  on  considering  the  other 
matters  comprehended  in  the  resolution,  that  they  required  or  admitted 
further  investigation,  the  undersigned  would  cheerfully  have  co-operated  in 
the  work,  resorting  to  every  source  of  information,  legally  available,  as 
far  as  the  same  could,  by  the  charter,  be  required  from  the  Bank,  or  le- 
gally received  or  compelled  from  any  other  quarter.  If,  in  the  progress  of 
such  an  investigation,  so  conducted,  disclosures  had  been  made  of  matter 


64  [  Rep.  No.  481.  ] 

requiring  or  authorizing  any  further  procedure  on  the  part  of  the  House, 
the  undersigned  would  not  have  been  behind  the  most  zeah)us  of  tlieir  as- 
sociates, in  denouncing  it  to  the  House  and  the  country.  A  different  view 
of  their  duty  was,  however,  taken  by  their  colleagues,  resulting  in  a  series 
of  measures,  from  which  the  undersigned  unfortunately  found  themselves 
obliged  to  dissent. 

But  while  there  was  a  form,  in  which  the  undersigned  were  prepared  to 
meet  every  part  of  the  resolution  under  which  the  committee  was  raised — 
the  foi-m  most  consonant  to  the  wants  and  wishes  of  tlie  country,  (to  which 
all  other  matters  of  party  crimination  are  insignificant,  compared  with  the 
great  question  of  the  causes,  the  just  responsibility,  and  the  remedies  of 
tiie  present  sore  distress) — the  form  unquestionably  in  which  the  resolution 
was  viewed  by  one  considerable  class  of  those  who  vjted  (or  it  In  the.  Honco  - 
the  undersigned  freely  admit  that,  in  the  range  and  character  proposed  to 
be  given  to  tiie  inquiry  by  their  colleagues,  the  majority  of  the  committee, 
the  purpose  of  the  majority  of  the  House  was  not  mistaken.  They  think  that 
no  candid  person,  contemplating  all  the  circumstances  of  the  case  from  the 
first  demonstrations  of  a  policy  on  the  part  of  the  Executive  hostile  to  the 
Bank,  down  to  the  recent  measures  in  support  of  that  policy  in  the  House 
of  Representatives,  will  deny  that  its  object  was  the  overthrow  of  the  insti- 
tution, and  the  injpeachmentof  its  directors,  before  the  bar  of  public  opinion, 
if  not  before  that  of  the  judicial  tribunals  of  the  land,  of  gross  malprac- 
tices, corruptions,  and  frauds ;  and  that  the  inquiry  to  be  conducted  by 
the  committee,  of  which  the  undersigned  composed  the  minority,  was  pro- 
posed to  be  one  of  the  measures  to  promote  that  end.  So  far  from  this 
being  denied,  the  undersigned  understand  it  to  be  not  only  admitted  but 
claimed  as  a  merit,  on  the  part  of  the  friends  of  the  present  administratioa 
of  the  National  Government. 

How  was  it  natural  that  such  an  inquiry  should  be  met  by  the  Bank,  or 
rather  by  those  who  have  been  entrusted  by  the  stockholders  with  its  direc- 
tion ?  The  Bank  is  a  legal  abstraction.  To  charge  the  Bank  with  bribery 
and  corruption,  is  to  use  words  which  have  no  accurate  meaning,  true  or 
false.  The  party  implicated  is  the  dii-ectory  and  officers  ;  men  of  charac- 
ter ;  men  known  to  the  community  as  some  of  its  most  useful  members  and 
highest  ornaments;  men  of  probity,  unimpeached  in  privatelife.  Some  of 
them  are  merchants,  whose  word  in  ths  most  important  transactions  would 
be  deemed  as  good  as  their  bond,  and  others  are  professional  characters, 
who  adorn  the  highest  tribunals  of  the  country.  These  are  the  party  im- 
plicated ;  charged  with  a  most  cruel  and  perfidious  design  to  bring  univer- 
sal distress  upon  the  country,  for  the  sake  of  paltry  selfish  ends;  and,  to 
promote  these  ends,  further  charged  with  corrupting  the  conductors  of  the 
press,  corrupting  the  people  in  the  exercise  of  their  elective  franchise,  and 
corrupting  the  members  of  Congress.  Are  honest  and  honorable  men, 
charged  with  these  odious  misdemeanors,  to  submit  to  the  charge  without 
a  murmur;  to  acknowledge  the  reasonableness  of  making  it;  the  expe- 
diency of  investigating  it,  all  vague  and  unspecified  as  it  is;  the  reality 
of  a  prima  fade  case  against  them  ?  Does  conscious  innocence  require  them 
to  admit  that  there  is  ground  of  suspicion  ?  Does  the  strong  and  indignant 
feeling  that  their  characters  arc  outraged,  while  their  rights  are  invaded, 
call  upon  tliein  voluntarily  to  take  the  cul[)i'it's  jjlace ;  and  endure  the 
ignominy  of  what  they  deem  an  uncalled  for  and  a  vexatious  inquisition? 
Or  is  it  not  rather  the  natural  dictate  of  proud  and  conscious  innocence  to 


f  Rep.  No.  481.  ]  65 


place  themselves  upon  their  rights,  beneath  the  segis  of  the  law  ?  If  I  go 
to  my  neighbor,  as  honest  a  man  as  myself,  and  say,  *•  you  are  a  swindler 
and  a  knave,"  shall  he  meekly  ask  me  to  enter  his  house,  lay  open  his 
ledger  and  his  letter  book,  an:l  invite  me  to  collect  the  materials  out  of 
which  I  may  prejudice  tlie  public  against  him  ?  The  directors  of  the 
Bank  are  citizens,  as  honest  and  as  viituous  as  any  of  those,  in  office  or 
out  of  it,  high  or  low,  who  charge  them  witli  corruption.  A  good  name  is 
as  dear  to  them  as  to  their  accusers.  Their  stake  in  the  welfare  of  the 
country  is  as  great.  The  success  with  which  they  have  conducted  the 
affairs  of  the  great  institution  entrusted  to  their  care,  is  not  matter  of  opi- 
nion ;  it  is  notorious  to  all  the  Avorld.  At  tijis  moment,  notwithstanding 
the  fearful  warfare  waged  against  them  by  almost  every  branch  of  the 
Government  of  their  own  country,  tiieir  credit  is  as  good  at  London  and 
Paris,  as  that  of  the  Bank  of  England  or  France.  At  this  moment,  in 
the  remotest  East,  in  the  markets  of  China,  where  the  silver  coin  of  the 
countr} ,  from  the  public  mint,  is  undervalued,  the  paper  of  the  Bank 
of  the  United  States  is  an  acceptable  currency.  In  the  midst  of  its  career 
of  usefulness,  it  has  been,  unfortunately  for  the  country,  drawn  into  the 
field  of  political  controversy ;  its  directors  and  officers  vilified  by  name, 
their  most  laudable  measures  misrepresented,  their  most  innocent  acts 
calumniated,  and  their  slightest  errors  of  judgment  tortured  into  corrup- 
tions and  crimes ;  above  all,  the  severe  distre>5S,  with  which  the  country 
has  been  visited,  for  the  sake  of  cairying  on  tliis  warfare,  has  been  cruelly 
imputed  to  the  wanton  (action  of  the  Bank,  though  struggling  for  its  own 
existence  against  the  most  formidable  efforts  to  crush  it.  I'he  calm  and 
dignified  tone  whicii  characterizes  the  communications  of  the  Committee  of 
Directoi-s,  under  circumstances  like  these,  is,  to  the  undersigned,  a  satisfac- 
tory indication  of  their  integrity  and  conscious  purity.  They  have  placed 
themselves  where,  as  American  citizens,  conscious  of  their  rights,  of  their 
injuries,  and  of  their  innocence,  they  had  a  right  to  place  themselves, 
under  the  protection  of  the  law. 

Firmly  believing  that  they  are  innocent  of  the  crimes  and  corruptions 
with  which  they  have  been  charged,  and  that,  if  guilty,  they  ought  not  to 
be  compelled  to  criminate  themselves,  tlie  undersigned  are  clearly  of  opi- 
nion that  the  directors  of  the  Bank  have  been  guilty  of  no  contempt  of 
the  authority  of  this  House,  in  having  res[)ectfully  declined  to  submit  their 
books  for  insjiection,  except  as  requii-ed  by  the  chai'ter. 

AH  which  is  respectfully  submitted  by 

EDWARD  EVERETT, 
WILLIAM  W.  ELLSWORTH. 

House  of  Representatives, 
Z2d  MiiJ,  1834. 


m  [  Rep.  No.  481.  ] 


APPENDIX. 


No.  1. 


Philadelphia,  North  AMEiticAN  Hotel, 

Jpril  23,  1834. 

Sir:  I  have  been  directed  by  the  committee  appointed  to  investigate 
the  affairs  of  the  Bank  of  the  United  States,  to  enclose  to  you  the  accom- 
panying copy  of  a  resolution  of  the  House  of  Representatives  of  the 
United  States,  and  to  inform  you  that  the  committee  will  be  prepared  to 
visit  the  Bank  of  the  United  States  to-morrow,  at  any  hour  that  will  be 
agreeable  to  you  to  receive  them,  to  commence  the  discharge  of  the  duties 
assigned  them. 

I  have  the  honor  to  be. 

Very  resjjectfully. 

Your  obedient  servant, 
FRANCIS  TKOMAS, 
Chairman  Committee  of  Investigation* 
N.  BiDDLE,  Esq. 

Frcsident  Bank  of  the  United  States. 

liesolvedf  That,  for  the  purpose  of  ascertaining,  as  far  as  practicable, 
the  cause  of  the  commercial  embarrassment  and  distress  complained  of  by 
numerous  citizens  of  the  United  States,  in  sundry  memorials  vvl.xh  have 
been  presented  to  Congress  at  the  present  session,  and  of  inquiring  whether 
the  charter  of  the  Bank  of  the  United  States  has  been  violated,  and  also 
what  corruptions  and  abuses  have  existed  in  its  management ;  whether  it 
has  used  its  corporate  power,  or  money,  to  control  the  press,  to  interfere 
in  politics,  or  influence  elections,  and  whether  it  has  had  any  agency, 
through  its  management  or  money,  in  producing  the  existing  pressure,  a 
select  committee  be  appointed  to  inspect  the  books  and  examine  into  the 
proceedings  of  the  said  Bank,  who  shall  report  whether  the  provisions  of 
the  charter  have  been  violated  or  not,  and  also  what  abuses,  coiTuptions, 
or  malpractices  have  existed  in  the  majiagement  of  said  Baidi,  and  that 
the  said  committee  be  authorized  to  send  for  persons  and  papers,  and  to 
summon  and  examine  v\itnesses  on  oath,  and  to  exan)ine  into  the  affairs  of 
the  said  Bank  and  branches;  and  they  arc  fuither  authorized  to  visit  the 
principal  Bank,  oi-  any  of  its  branches,  for  the  purpose  of  inspecting  the 
books,  correspondence,  accounts,  and  other  jiapers  connected  with  its 
management  or  business  ;  and  that  the  said  committee  be  required  to  re- 
port the  result  of  such  investigation,  together  with  the  evidence  they  may 
take,  at  as  early  a  day  as  practicable. 


[  Rep.  No.  481.  ]  67 

Bank  of  the  United  States, 

^pril  23,  1834. 
'Sir  :  I  have  had  the  honor  of  receiving  your  letter  of  this  day's  date, 
witii  a  copy  of  the  resolution  of   tlie  House  of  Representatives  of  the 
United  States,  ])assed  on  the  4th  instant. 

1  shall  forthwitli  call  a  special  meeting  of  the  Board  of  Directors  of  the 
Bank  at  nine  o'clock  to-morrow  morjiing,  when  these  papers  shall  be  sub- 
mitted to  them,  after  which  a  communication  on  the  subject  shall  be  made 
to  you.  5 

In  the  mean  time,  I  have  the  honor  to  be. 

Very  respectfully,  yours, 

N.  BIDDLE,  Vresident. 
Hon.  Francis  Thomas, 

Chairman  Committee  of  Investigation, 

No.  2. 

Bank  of  the  United  States, 

,3pril  £4,  1834. 
Sir:  I  am  directed  by  a  Committee  of  the  Directors  of  the  Bank  of  the 
United  States,  to  send  you  the  enclosed  copy  of  a  resolution  adopted  this 
morning  by  the  Board,  at  a  special  meeting,  convened  in  consequence  of 
your  communication  of  yesterday  to  the  President,  and  to  inform  you  that 
the  committee  will  immediately  direct  the  necessary  arrangements  to  be 
made  for  the  accommodation  of  the  Committee  of  tiie  House  of  Representa- 
tives of  the  United  States,  and  will  attend  at  the  Bank  to  receive  them  at 
11  o'clock  to-morrow  morning. 

I  have  the  honor  to  be. 

•  ^Your  most  obedient  servant, 

JOtlN  SERGEANT. 

Chairman. 
To  the  Hon.  Francis  Thomas, 

Chairman  Committee  of  Investigatien. 

Resolvedf  That  a  committee  of  seven  members  of  the  Board  be  appoint- 
ed to  receive  the  Committee  of  the  House  of  Representatives  of  the  United 
States  and  to  oftVr  for  their  inspection  such  books  and  papers  of  the 
Bank  as  may  be  necessary  to  exhibit  the  proceedings  of  the  corporation 
according  to  the  requirement  of  the  charter. 

The  following  directors  were  then  appointed  to  compose  the  said  com- 
mittee : 

Mr.  Sergeant,  Mr.  Eyre,  Mr.  Lewis,  Mr.  NefF,  Mr.  Chauncey,  Mr. 
Coxe,  Mr.  Henry. 


No. 


Friday,  ^pril  S.5,  1834. 


Mr.  Sergeant  offered  to  the  Committee  of  the  House  of  Representatives 
the  assistance  of  the  Committee  of  the  Bank,  in  giving  every  facility  to  the 


68  '  [  R)&p.  No.  481.  J 

prosecution  of  their  inquiry.     Mr.  Thomas  then  presented  to  the  Commit- 
tee of  the  Bank  the  following  : 

Ordered,  Tiiat  the  President  of  the  Bank  of  the  United  States  he  re^ 
quested  to  furnish  the  committee  with  a  list  of  the  hooks  of  the  Bank,  with 
an  explanation  of  the  purposes  for  which  each  is  designed,  and  the  names 
of  the  clerks  to  whose  care  and  custody  they  are  respectively  committed; 
and,  also,  a  copy  of  the  hy-laws  now  in  force  in  the  Bank,  and  of  the  by- 
Jaws  in  force  prior  to  the  first  Monday  of  December,  1829. 

No.  4. 
Bank  or  the  United  States, 

^prit  25,  1834. 

Sir:  I  have  had  the  honor  to  send  you,  agreeably  to  your  request,  <<a 
list  of  tlie  books  of  the  Bank,  with  an  explanation  of  the  purposes  for  which 
each  is  designed.'* 

In  regard  to  the  remaining  part  of  the  inquiry,  "  the  names  of  the  clerks 
to  whose  care  and  custody  they  are  respectively  committed,"  I  am  in- 
structed by  the  Committee  of  the  Board  to  say  that  these  books  are  not 
understood  to  be  in  the  care  and  custody  of  the  clerks,  but  in  the  general 
custody  of  the  Boai'd.  The  names  of  the  clerks  who  make  entries  in  them^ 
and  for  that  purpose  have  possession  of  them  during  the  hours  of  busi- 
ness, are  added  to  the  list  of  the  books. 

I  also  enclose  "  a  copy  of  the  by-laws  now  in  force  in  the  Bank,  and  of 
the  by-laws  in  force  prior  to  tlie  first  Monday  of  December,  ]829." 
I  have  tlie  Iionor  to  be, 

Very  respectfully,  your  obedient  servant, 
JOHN  SERGEANT, 

Chairman^ 
The  Hon.  Francis  Thomas, 

Chairman  of  Committee  oj  Investigation. 

No.  5. 
Bank  of  the  United  States, 

^pril  26,  1834. 
Sir  :  In  compliance  with  the  direction  of  the  Committee  of  Investiga- 
tion, I  have  the  honor  to  enclose  to  you  the  accompanying  resolutions.. 

i  am,  very  respectfully, 

Your  obedient  servant, 

FRANCIS  THOMAS, 
Chairman* 
To  John  Sergeant,  Esq. 

Chairman  of  the  Committee  of  Directors  of  the  Bank  U.  S. 

'  No.  6. 

[Enclosed  in  the  foregoing.] 
Resolved,  That  the  proceedings,   investigations,  and  examinations  of 
the  committee  of  tiie  books,  j)apers,  and  affairs  of  the  Bank,  shall  be  con 
fidential,  unless  otherwise  ordered  by  the  committee. 


f  Rep.  No.   481.  ]     '  69 

Resolved,  That  the  investigation  of  this  committee  into  the  affairs,  ma- 
nagement, and  concerns  of  the  Bank  of  the  United  Stj^tes,  shall  be  con- 
ducted without  the  presence  of  any  person  who  is  not  requirecj,  or  invited 
to  attend  the  examination  of  this  committee. 

Resolved,  Tiiat  the  chairman  communicate  a  copy  of  the  foregoing  reso- 
lutions to  the  committee  appointed  by  the  directors  of  tlie  Bank  of  the 
United  States  to  receive  the  Committee  of  the  House  of  Representativ es. , , 

A  true  copy. 

RICHARD  RUSH, 

Secretary  to  the  Committee. 

No.  7. 

Bank  op  the  United  States, 

.April  26,  18S4. 

Sir:  I  have  received,  and  have  laid  before  the  Committee  of  the  Direc- 
tors of  the  Bank  of  the  United  States,  your  note  of  this  date,  and  the 
enclosed  copy  of  the  resolutions  of  the  Committee  of  tlie  House  of  Repre- 
sentatives of  the  United  States.  I  am  directed  by  the  committee  to  inform 
you  that  your  communication  will  be  laid  before  the  Board  at  a  special 
meeting  convened  for  the  purpose,  and  that  we  will  be  prepared  to  make 
known  to  you  the  decision  of  the  Board  at  your  next  meeting,  on  Monday, 
at  1 1  o'clock. 

I  have  the  honor  to  be 

Your  most  obedient  servant, 

JOHN  SERGEANT,  Chairman. 
To  the  Hon.  Francis  Thomas, 

Chairman  of  the  Committee  of  Investigation  of  the  House  of  Reps. 

No.  8. 

Bank  of  the  United  States, 

Jpril  28,  18S4. 

Sir  :  In  conformity  to  my  communication  of  the  26th  instant,  your  note 
of  that  date,  a;id  the  resolutions  enclosed  in  it,  have  been  laid  before  the 
Board  of  Directors  of  the  Baukof  the  United  States  at  a  special  meeting 
convened  for  the  purjKtse.  I  have  now  the  honor  to  enclose  you  a  copy  of 
the  resolutions  of  the  Board,  and  to  be, 
With  great  respect. 

Your  most  obedient  servant, 

JOHN  SERGEANT,  Chairman. 
To  the  Hon.  Francis  Thomas, 

Chairman  of  the  Committee  of  the  House  of  Reps.  U.  S. 

1.  Resolved,T\\!it  the  Board  recognise  the  right  of  the  Committee  of  the 
House  of  Representatives  of  the  United  States  to  inspect  the  books  and  to 
examine  into  the  proceedings  of  the  Bank  of  the  United  States,  according 


#  '     [  Rep.  No.  481.  ] 

to  tlie  provisions  of  the  charter  ;  and,  to  enable  the  committee  to  exercise 
this  right,  according  to  the  order  of  t!ie  House  of  Representatives,  the 
Board  have  endeavored  to  do  all  that  could  manifest  tlieir  respect  for  ther 
committee,  or  contribute  to  t!ie  convenient  perfoimance  of  its  duty,  by  of- 
fering a  room  in  the  banking  house  for  its  accommodation,  and  a})pointing 
a  committee  of  directors  to  exhibit  the  books  and  papers  according  to  the 
requirement  of  the  charter  :  but  the  Board  cannot,  consistently  with  their 
sense  of  duty  to  the  Bank,  and  of  the  obligations  of  the  trust  committed 
to  them,  consent  to  give  up  the  custody  and  possession  of  the  books  and 
papers  of  the  Bank,  nor  ])ermit  t!»em  to  be  examined  but  in  the  presence 
of  the  committee  appointed  by  the  Board. 

2.  Resolved,  That  considering  the  nature  of  the  proceedings,  which  re- 
sulted in  the  resolution  for  the  appointment  rf  the  Committee  of  the  House 
of  Representatives  of  the  United  States,  to  examine  the  Bank  of  the 
United  States,  and  considering  the  very  grave  and  accusatory  nature 
of  the  inquiries  directed  to  be  made  by  that  resolution,  as  well  in  their 
bearing  iij>on  the  Bank,  as  ujmn  the  individual  citizens  entrusted  with 
its  administration,  the  Board  cainiot  but  deem  it  due  to  the  demands 
of  common  justice  that  tlie  institution,  and  the  individuals,  should 
have  the  opportunity  to  be  piesent,  by  their  representatives  appointed 
for  that  i)urpose,  at  all  examinations  to  be  made  by  the  committee 
touching  their  character  and  conduct,  whether  the  same  be  of  books  and 
papers,  or  of  witnesses.  It  is  most  manifest  to  the  Board  thai,  for  the 
purpose  of  arriving  at  the  truth,  examination  in  t!ie  ])resence  of  the  par- 
ties would  be  the  natural  and  elTectual  mode  of  proceeding  ;  and  the  Board, 
being  confident  that  examinations  so  conducted  would  result  in  a  manner 
creditable  to  the  Bank,  ha.e  ])romptIy  and  cheerfuily  acceded  to  the  am- 
plest investigation  :  but,  if  they  are  to  understand  the  resolutions  of  tlie 
Committee  of  the  House  of  Representatives  of  the  United  States,  of  the 
26th  instant,  as  announcijig  an  intention  to  pursue  a  different  course,  they 
do  solemnly  protest  against  the  same,  being  fully  satisfied  that  secret  and 
partial  examinations  are  unjust  and  oppressive,  and  contiary  to  common 
right,  and  never  to  be  resorted  to  but  in  cases  of  necessity,  of  wiiich  the 
present  cannot,  in  the  oj)inion  of  the  Board,  be  said  to  be  one. 

3.  Kesolvedf  That  the  committee,  appointed  on  the  24th  instant,  be  in- 
structed to  furnish  a  certified  copy  of  the  foi-egoing  resolutions  to  the  Com- 
mittee of  the  House  of  Representatives  of  the  United  States. 

No.  9. 

Ba>'K  of  the  United  States, 

Jpril  28,  1834. 
Sir  :   I  have  been  directed  bv  the  Committee  of  Investigation  to  ac- 
knowledge the  receipt  of  your  letter  of  tiie  28th  instant,  and  to  inform  you 
that  I  shall  be  authorized  to  rejjly  to  it  by  to-morrow  at  9  o'clock  A.  M^ 
I  am,  vei-y  respectfully, 

Your  obedient  servant, 

FRANCIS  THOMAS. 
John  Sergeant,  Esq. 

Chairman  of  the  Committee  of  Directors  of  the  V.  S.  Bank. 


[  Rep.  No.  481.  ]  71. 

No.  10. 
Committee  Room,  .Ipril  29,  1834. 
Sir  :  I  Iiavn  the  honor  to  enclose  to  you  the  accompanying  co])ies  of  re- 
solutions which  have  heen  adopted  to-day  hy  t!ie  Committee  of  Investiga- 
tion, in  reply  to  your  communication  of  the  28tli  instant. 
With  great  respect, 

I  am  your  obedient  servant, 

FRANCIS  THOMAS. 
To  John  Sergeant,  Esq. 

Chairman  of  the  Committee  of  Directors  of  the  U.  S.  Bank. 

No.  11. 

[Enclosed  in  the  foregoing.] 

Committee  Room,  JlpriL  29,  1834. 
At  a  meeting  of  the  Committee  of  Investigation  of  tlie  House  of  Repre- 
sentatives, on  motion, 

1.  Resolved,  That  this  committee  duly  ajipreciate  liie  disposition  mani- 
fested hy  tlie  directors  of  the  Bank  of  the  United  States,  in  offering  ac- 
commodations in  their  hanking  house  for  its  use,  as  contained  in  tlie  com- 
munication of  the  Committee  of  the  Board  of  Directors  of  the  24th  instant, 
that  this  committee  accepted  that  offer  under  the  belief  that  it  would  pro- 
mote as  well  its  convenience  as  that  of  the  otKcers  of  the  Batik,  and  that 
the  room  thus  offered  would  be  exclusively  for  its  occupation,  and  that  of 
those  whose  attendance  might  be,  by  the  committee,  required  or  assented 
to,  during  the  business  hours  of  the  Bank,  and  that  the  committee  is  will- 
ing still  so  to  consider  it. 

2.  Resolved,  Tisat  this  committee,  charged  vvitli  important  duties,  and 
acting  undei*  its  responsibility  to  the  House  of  Representatives,  and  the 
laws  of  the  United  States,  claims  the  right,  to  be  exercised  at  its  discre- 
tion, to  compel  the  production  of  the  books  and  papers  of  the  Bank  for 
inspection,  and  to  inspect  the  same  in  sucli  mode  as  to  the  committee  may 
seem  best  calculated  to  promote  t!ie  objects  of  its  inquiry.  But  this  com- 
mittee has  not  determined  that  it  will  become  necessary  to  perform  that 
duty,  out  of  the  presence  of  those  changed  by  the  directors  to  submit  the 
same  to  the  inspection  of  the  committee. 

3.  Resolved,  That  this  committee  cannot  recognise  the  right  of  the 
Board  of  Directors  to  regard  the  resolution  of  the  House  of  Representa- 
tives as  accusatory  in  its  character,  or  this  committee  as  charged  with  the 
duty  of  criminating  the  Bank  or  its  otlicers.  That,  in  the  resolution  of  the 
26th  instant,  the  committee  intended  to  assert  its  right  to  control  its  own 
proceedings,  and  not  to  indicate  a  purpose  of  making  a  secret  and  partial 
examination,  or  of  practising  injustice  or  opj)i-ession.  That  the  commit- 
tee cannot  but  regai-d  the  expression  of  such  an  apprehension  by  the  Board 
of  Directors  as  unjust  to  its  members,  and  unauthorized  by  the  resolution. 

4.  Resolved,  That  this  committee,  actuated  by  a  sense  of  justice,  will 
unhesitatingly  afford  to  every  person,  whose  character  or  conduct  may 
seem  to  be  affected  in  the  ])rogress  of  their  investigations,  a  full  opportu- 
nity of  explanation  atid  defence,  but  claim  the  right  of  determining  the 
time  and  mode  of  giving  such  privilege  ;  and,  therefore,  cannot  recognise 
the  right  of  the  directors  to  prescribe  the  course  to  be  pursued  by  this 
committee  in  making  its  examinations. 

5.  Resolvedf  That  a  copy  of  the  foregoing  resolutions  be  communicated 
by  the  chairman  to  the  Committee  of  the  Directors  of  the  Bank. 


72  [  Rep.  No.  481.  J 

No.  12. 

Bank  of  the  United  States, 

»9pril  29,  1834. 

Sir  :  I  have  the  honor  to  acknowledge  your  note  of  this  date,  and  the 
copy,  enclosed  in  it,  of  the  resolutions  adopted  hy  the  Committee  of  the 
House  of  Representatives  of  the  United  States.  They  have  heen  laid  be- 
fore the  Committee  of  the  Board  of  Directors,  and  I  am  directed  by  them 
to  make  the  following  reply  : 

The  committee  would,  in  the  first  place,  respectfully  state  that  it  was 
not  their  intention,  nor  the  intention  of  the  Board,  to  allege  that  the  Com- 
mittee of  Investigation  was  charged  with  the  duty  of  criminating  the 
Bank  or  offices.  They  meant  only  to  say,  as  will  be  seen  by  reference  to 
the  resolution,  that  the  inquiries  directed  to  be  made  were  in  their  nature 
accusatory  :  and  so  the  Committee  of  the  Board  are  still  obliged  to  consi- 
der them. 

The  committee  would  further  respectfully  state  that  it  was  not  the  in- 
tention of  the  Board  to  impute  to  the  Committee  of  Investigation  a  pur- 
pose of  making  a  secret  and  partial  examination,  or  of  practising  injustice 
or  oppression.  They  simply  intended  to  assert  what  they  believe  to  be 
beyond  all  dispute  or  doubt,  that  secret  and  partial  examinations  into 
matters  which  have  a  bearing  upon  the  character  and  conduct  of  indi- 
viduals are  unavoidably  unjust  and  oppressive. 

And,  finally,  the  committee  would  most  respectfully  disclaim  all  inten- 
tion to  control  in  any  manner  the  proceedings  of  the  Committee  of  Inves- 
tigation, or  to  prescribe  to  it  any  couise  whatever.  The  Board  are  very 
sensible  they  have  neither  the  power  nor  the  right  to  do  so.  The  only 
purpose  of  the  Board  was  to  exhibit  respectfully  to  the  Committee  of  In- 
vestigation their  views  of  their  own  rights  upon  the  two  points  presented . 
by  the  resolutions  of  the  Committee  of  Investigation  of  the  26th  instant, ; 
from  which  views  they  have  seen  no  reason  to  depart. 

The  committee  are  very  happy  to  perceive  that,  as  yet,  there  is  no  prac- 
tical difference  between  the  views  of  the  Board  and  those  entertained  by 
the  Committee  of  Investigation,  as  to  the  mode  of  proceeding  to  be  adopt- 
ed, inasmuch  as  the  resolutions  you  have  done  me  the  honor  to  send  me, 
inform  us  that  the  Committee  of  Investigation  have  not  come  to  any  deci- 
sion, and  we,  therefore,  may  indulge  a  hope  that,  seeing  the  reasonableness 
and  justice  of  the  views  respectfully  suggested  by  the  Board,  the  Commit-, 
tee  of  Investigation,  when  they  come  to  decide,  will  not  differ  from  the , 
Board  in  opinion. 

I  am  directed,  in  conclusion,  respectfully  to  request,  when  the  Committee 
of  Investigation  shall  have  decided  upon  the' mode  of  i)roceeding  they  will 
adopt,  they  will  be  good  enough  to  communicate  their  decision,  that  the 
Board  may  be  able  to  take  such  measures  as  it  may  seem  to  require.  In 
the  mean  time,  I  beg  you  to  be  assured  of  tlie  continued  disposition  of  the 
Board  and  the  committee  to  contribute  all  that  may  be  in  their  power  to 
promote  the  accommodation  and  convenience  of  the  Committee  of  Inves- 
tigation, as  well  as  of  the  great  respect  of 

Sip,  your  most  obedient  servant, 

JOHN  SERGEANT,  Chairman. 

To  the  Hon.  Francis  Thomas, 

Chairman  of  the  Committee  of  the  House  of  Reps.  U.  8. 


[  Rep.  No.  481.  J  '  '  73 

No.  13. 

Committee  Room, -4pnZ  29,  1834. 

Sir:  In  compliance  with  the  directions  of  the  Committee  of  Investigation,  I 
have  the  honor  to  enclose  to  you  the  accompanying  resolutions. 
With  high  respect,  I  am  your  obedient  servant, 

FRANCIS  THOMAS,  Chairman. 
To  John  Sergeant,  Esq., 

Chairman  of  the  Com.  of  Directors  of  the  Bank  of  the  U.  S. 

No.  14. 
[Enclosed  in  the  foregoing.] 

Resolved,  That  the  President,iDirectors,  and  Company  of  the  Bank  of  the  Uni- 
ted States  be  requested  to  furnish  the  Committee  with  a  statement  of  the  outstand- 
ing certificates  of  the  public  debt,  for  which  the  Bank  holds  the  money  in  depo- 
site  to  redeem,  under  the  designation  of  "  redemption  of  public  debt,"  showing 
the  names  and  residence  of  the  holders  of  such  outstanding  certificates;  the  amount 
of  each,  and  the  aggregate  of  the  whole;  the  class  of  loans  to  which  they  belong 
respectively,  and  whether  the  Bank  has  paid  interest  to  any  of  the  holders  of  the 
same,  since  they  fell  due  and  payable. 

A  true  copy:  RICHARD  RUSH,  Secretary. 

No.  15. 

Resolved,  That  the  President,  Directors,  and  Company  of  the  Bank'of  the  Uni- 
ted States  be  requested  to  furnish  the  Committee  with  the  entire  correspondence 
between  said  Bank,  or  any  of  its  agents,  and  the  Secretary  of  the  Treasury  and 
Baring,  Brothers  and  Company,  and  Hottinguer  and  Company,  touching  the  bill 
of  exchange  drawn  by  the  Treasury  Department  on  the  French  Government,  on 
the  7th  of  February,  1833;  also  copies  of  all  accounts  and  accounts  current  with 
said  Bank,  from  either  Baring,  Brothers  and  Company,  or  Hottinguer  and  Com- 
pany, between  the  1st  of  January  and  July,  1833. 

A  true  copy:  RICHARD  RUSH,  Secretary. 

No.  16. 

Resolved,  That  the  President,  Directors,  and  Company  of  the  Bank  of  the 
United  States,  be  requested  to  furnish  the  Committee  with  a  list  of  the  names  and 
residences  of  all  the  persons  who  surrendered  their  certificates  of  tliree  per  cent, 
stock,  and  received  a  credit  on  the  books  of  the  Bank  therefor;  the  time  when,  and 
amount  placed  at  the  credit  of  each;  the  aggregate  amount  thus  surrendered,  and  the 
dates  at  which  the  same  were  paid  by  the  Bank  to  the  proprietors;  the  names  of  the 
agents  employed  by  the  Bank  in  any  negotiations  or  arrangements  to  postpone  the 
payment  of  said  stocks;  the  compensation  allowed  to  each  agent;  and  the  amount 
of  expenses  allowed  to  each  in  addition  to  compensation. 

A  true  copy:  RICHARD  RUSH,  Secretary. 

No.  17. 

Resolved,  Tliat  the  President,   Directors,  and    Company  of  the  Bank  of  the 

United  States  bo   requested  to  furnish  the  Committee  with  a  statement,  siiowing 

the  names  of  all  special  agents  employed  by  the  Bank  since  its  establishment,  the 

objects  of  such  agencies,  the  compensation  allowed  to  each,  the  services  rendered 

10 


74  [  Rep.  No.  481.  J 

by  each,  the  duration  of  such  agencies,  the  expenses  allowed  to  each  in  addition 
to  compensation,  and  whether  either  of  such  agents  was  either  a  member  of  Con- 
gress, State  Legislature,  or  officer  of  the  General  Government,  at  the  time  of 
employment.  A  true  copy:  RICHARD  RUSH,  Secretnryi 

No.  18. 

Resolved,  That  the  President  and  Directors  of  the  Bank  of  the  United  States 
be  requested  ta  furnish  this  Committee  with  the  following  statements: 

1st.  A  statement  showing  tiie  amount  of  public  money  on  deposite  in  the  Bank 
and  its  branches  respectively,  to  the  credit  of  the  Treasurer,  and  other  officers  of 
the  United  States,  in  each  month,  from  April,  1832,  to  April,  1834,  inclusive. 

2d.  A  statement  showing  the  number  of  votes  given  at  each  election  for  Di- 
rectors of  the  parent  Bank  since  December,  1832;  showing,  also,  what  number 
of  votes  were  given  in  person  by  the  stockholders,  and  what  number  by  proxy, 
and  by  whom  such  proxies  were  held,  and  a  list  of  the  Directors  elected  at  each 
election. 

3d.  A  statement  showing  the  amount  of  gold  or  silver  coin  which  has  been 
purchased  or  sold  by  the  Bank,  the  names  of  the  persons  to  whom  such  sales 
and  from  whom  such  purchases  have  been  made,  and  the  gross  amount  of  profit 
derived  by  the  Bank  therefrom;  and  also  showing  the  most  usual  and  highest 
prices  received  for  each  of  the  following  descriptions  cf  coin,  and  whether  the 
same  have  beew  sold  in  the  United  States,  or  in  foreign  countries. 

1.  Gold  eagles,  halves,  and  quarters  of  the  United  States'  coinage. 

2.  Silver  dollars,  halves,  and  quarters  of  the  same  coinage. 

3.  Spanish  doubloons,  and  their  parts. 

4.  Patriot         do.  do. 

5.  Spanish  milled,  Mexican,  Peruvian,  and  Chilian  dollars. 

6.  English  guineas  and  sovereigns. 

7.  Louisd'ors  df  France,  and  five-franc  pieces. 

8.  Half  Joes  of  Portugal  or  Brazil. 

4th.  A  statement  showing  the  amount  of  gold  or  silver  coin  which  has  been 
drawn,  by  order  of  the  parent  Bank,  from  each  of  its  western,  southwestern,  and 
southern  offices;  and  also  the  amount  of  specie  which  has  been  sent  thereto  by  the 
same  authority. 

5th.  A  statement  showing  the  names  of  all  persons,  alphabetically  arranged, 
who  were  indebted  to  the  parent  Bank  on  the  first  Monday  of  December,  1829; 
showing,  also,  whether  by  authority  from  the  Board  of  Directors,  the  Exchange 
Committee,  the  President,  or  other  officer  of  the  Bank,  each  loan  thus  made  the 
residence  of  each  borrower  or  debtor,  the  terms  on  which  each  loan  was  made, 
and  whether  each  debtor  was  liable  as  endorser  or  drawer,  principal  or  security,     i 

6th.  Statement,  similar  to  the  foregoing,  of  the  debts  due  to  the  parent  Bank? 
on  the  1st  day  of  June,  1832,  and  on  the  28ih  day  of  April,  1834.  '^ 

7th.  A  statement  showing  the  amount  of  foreign  or  domestic  gold  or  silver  coin^b 
or  bullion,  which  has  been  exported  by  the  Bank,  for  each  and  every  month,  since*^ 
the  1st  of  March,  1832,  and  the  profits  derived  by  the  Bank  from  such  exporta-" 
tion;  and  also  the  amount  of  specie  imported  by  the  Bank  within  the  saraao 
period. 

8th.  A  statement  showing  the  capital  of  each  of  the  offices  or  branches  of  the 
Bank,  with  a  tabular  statement  showing  the  liabilities  and  resources  of  each  branch 
or  office,  on  the  1st  of  each  and  every  month,  from  March,  1832,  to  April,  1834, 
inclusive. 

9th.  A  statement  showing  the  amount  of  domestic  bills  possessed  by  each  of  the 
branches  and  officers  of  the  Bank  on  the  first  day  of  each  month,  from  March, 
1832,  to  April,  1834,  inclusive;  showing  also  the  places  at  which  the  same  were^' 


[  Rep.  No.  481.  1  75- 

purchased,  and  the  time  when    and   places  where    the   same  were  or  will   be 
payable. 

iOth.  A  statement  showing  the  amount  of  money  which  has  been  at  any  time- 
loaned  by  the  Bank  on  pledges  of  stock  as  collateral  security,  the  kind  and  de- 
scription of  stocks  thus  pledged,  the  date  and  terms  of  each  loan,  the  names  of  the 
borrowers,  with  the  amount  loaned  to  each,  and  the  amount  now  due  by  such 
borrowers  respectively. 

11th.  A  statement  showing  the  names  of  the  stockholders  of  the  Bank,  with  the 
number  of  shares  held  by  each,  the  residence  of  each,  their  official  stations,  if  in 
office;  and  showing  also  the  aggregate  number  and  value  of  the  shares  held  by 
foreigners  and  citizens  of  the  United  States  respectively. 
A  true  copy: 

RICHARD  RUSH. 

No.  19. 

Committee  Room,  (North  American  Hotel,)  April  30,  1834. 

Sir:  I  have  the  honor  to  acknowledge  the  receipt  of  your  letter  of  the  29th 
instant,  and,  having  submitted  it  to  the  consideration  of  the  Committee  of  Investi- 
gation, have  been  authorized  to  present  to  you  the  following  reply: 

The  Committee  regret  to  find  that  the  character  of  the  resolutions  heretofore 
adopted  by  them,  and  of  which  copies  have  been  forAvarded  to  you,  is  much  mis- 
understood. In  your  letter  of  the  29th,  it  is  said  "  that  the  Committee  of  Investi- 
gation have  not  come  to  any  decision"  as  to  the  mode  of  proceeding  to  be  adopted. 
The  propriety  or  justice  of  such  an  allegation  is  not  perceived.  The  Committee 
have  decided,  and  made  known  to  you  that  decision,  that  they  have  the  power  to 
compel  the  production  of  the  books  and  papers  of  the  Bank  for  inspection;  that 
they  have  the  power  to  make  such  inspection  in  the  presence  of  those  only  who  may 
be  by  the  Committee  required  or  invited  to  attend;  and  to  exclude  from  their  room  all' 
persons  whatever,  who,  by  their  presence,  may  in  any  degree  tend  to  impede  the ' 
progress  of  the  inspection  of  the  books  and  papers,,  or  incommode  the  members  of 
the  Committee  in  the  discharge  of  the  high  duties  devolved  on  them  by  the  House 
of  Representatives.  Tlie  Committee  reserve  the  right  to  exercise  that  power  when  ' 
it  shall  become  necessary,  and  in  the  manner  which  their  sense  of  propriety,  and' 
desire  to  do  justice  to  the  Bank  and  to  the  country,  may  dictate.  They  hope  that 
nothing  will  occur,  in  the  course  of  this  scrutiny,  which  may  render  it  proper  for 
them  to  decide  upon  and  exercise  the  full  extent  of  the  powers  conferred  upon 
them  by  the  House;  and  are  iiappy  to  learn  that  "  there  is  no  practical  difference 
between  the  views  of  the  Board  and  those  entertained  by  the  Committee."  They 
will  be  glad  to  know  whether  they  are  authorized  to  conclude  tiiat  the  room  which 
has  been  oflered  for  their  accommodation  at  the  banking  house,  can  be  conve- 
niently set  apart  for  their  exclusive  use  and  occupation,  from  ten  o'clock,  A.  M. 
until  three,  P.  M.  during  their  continuance  in  Philadelphia.  The  Committee 
assure  the  Committee  of  Directors,  tliat  it  is  their  desire  to  conduct  the  investiga- 
tion at  the  place  mutually  convenient  to  them  and  the  officers  of  the  Bank,  and  in 
a  manner  calculated  to  work  no  "  injustice  or  oppression." 

An  answer,  consistent  with  your  earliest  convenience,  to  so  much  of  this  com- 
munication as  relates  to  the  occupation  of  the  room  in  the  banking  house,  is 
respectfully  requested. 

I  have  the  honor  to  be,  with  great  respect,  your  obedient  servant, 

FRANCIS  THOMAS. 

To  John  Sergeant,  Esq.,  Chairman  of  the  Committee 

of  the  Board  of  Directors  of  the  Bank  of  the  United  States. 


76  [  Rep.  No.  481.  J 

No.  20. 

Bank  of  the  United  States,  May  \st^  1834. 

Sir:  I  have  the  honor  to  acknowledge  your  letter  of  the  30th  of  April.  It  has 
been  laid  before  the  Committee  of  the  Board,  and,  by  their  direction,  I  make  the 
following  reply: 

In  saying  that,  according  to  the  tenor  of  the  resolutions  of  the  Committee  of  In- 
vestigation of  the  29th  ult.,  there  was  "as  yet  no  practical  ditference"  between  the 
Committee  and  the  Board,  the  Committeeof  the  Board  still  think  the  language  they 
used  was  correct  and  appropriate.  It  is  true,  that  in  these  resolutions  the  Committee 
of  Investigation  had  asserted  a  power  which  might,  perhaps,  have  been  controverted. 
But  it  was  not  the  intention  of  the  Committee  of  the  Board  to  discuss  or  question  the 
powers  of  the  Committee  of  Investigation  in  the  abstract,  or  as  matter  of  opinion, 
but  simply  to  set  forth  their  own  views  of  what  they  believe  to  be  the  rights  of  the 
Bank,  and  of  the  individual  citizens  intrusted  with  its  administration. 

The  "practical  difference,"  according  to  the  view  of  the  Committee  of  the 
Board,  would  only  occur  when  there  should  be  an  actual,  as  distinguished  from  a 
theoretical  collision;  that  is  to  say,  when  an  exertion  of  power,  attempted  by  the 
Committee  of  Investigation,  should  be  met  by  an  assertion  of  right  on  the  part  of 
the  Board,  incompatible  with  its  prosecution.  Such  a  state  of  things  would  be  ex- 
tremely to  be  regretted.  It  must,  nevertheless,  be  conceded  that  a  case  might  be 
presented  in  which  the  Committee  of  the  Board  would  be  compelled,  by  a  deep 
sense  of  duty,  to  consider  their  rights,  and  to  act  upon  their  own  views  of  them. 

Among  the  risks  incident  to  an  error  of  judgment  in  deciding,  they  would  es- 
teem it  one  of  the  greatest  that  their  conduct  might,  by  possibility,  be  imputed, 
however  unjustly,  to  a  want  of  due  respect  for  the  Committee  of  Investigation,  or 
for  the  high  source  from  which  their  authority  is  derived. 

Under  the  influence  of  these  feelings,  and  with  a  strong  desire  that  the  investi- 
gation might  be  conducted  in  a  manner  satisfactory  to  both  the  parties,  the  Com- 
mittee of  the  Board  gladly  embraced  the  belief — it  may  be  that  their  strong  inclina- 
tion led  them  too  hastily  to  believe — that  there  was,  "  as  yet,  no  practical  differ- 
ence." If  in  this  they  misunderstood  the  terms  of  the  resolutions  of  the  Committee 
of  Investigation,  they  will  be  ready  to  receive  explanation  of  the.  Committee,  in 
this  or  any  other  matter,  to  correct  the  misunderstanding. 

They  deem  it  due,  however,  to  the  Committee  of  Investigation,  as  well  as  to 
themselves,  to  say  further,  that  in  the  letter  of  the  Committee  of  Investigation  of 
the  30th  ult.  there  appears  to  be  a  misapprehension  of  the  meaning  of  the  Commit- 
tee of  the  Board  in  their  letter  of  the  29lh  ult. 

The  Committee  of  the  Board  did  not  say  "that  the  Committee  of  Investigation 
had  not  come  to  any  decision  as  to  the  mode  of  proceeding  to  be  adopted."  They 
do  not  know,  nor  can  they,  without  failing  in  the  respect  due  to  themselves,  pre- 
tend to  know,  what  may  have  been,  or  what  may  be,  the  decisions  of  the  Commit- 
tee of  Investigation,  except  so  far  as  the  Committee  may  think  fit  to  communicate 
them.  Accordingly,  their  letter  of  the  —  ult.  was  founded  entirely  on  the  reso- 
lutions of  the  —  ult.,  copies  of  which  were  transmitted  to  them  by  the  Commit- 
tee of  Investigation;  and  the  passage  above  quoted,  with  its  context,  referred  es- 
pecially to  the  following  sentence,  in  the  second  of  those  resolutions,  to  wit:  "But 
this  Committee  has  not  determined  that  it  will  become  necessary  to  perform  that 
duty  out  of  the  presence  of  those  charged  by  the  Directors  to  submit  the  same  to 
the  inspection  of  the  Committee."  Comparing  this  with  the  resolutions  of  the 
Board  of  Directors,  heretofore  handed  to  the  Committee  of  Investigation,  it  did 
appear  to  the  Committee  of  the  Board  that  there  was  no  decision  upon  this  mate- 
rial point,  cuid,  therefore,  that  there  was  "as  yet  no  practical  difference." 

Acting  upon  the  same  principle  that  has  hitherto  governed  the  Committee  of  the 
Board,  it  is  not  their  intention  to  question  the  statement  of  the  Committee  of  In- 


I   Rep.  No.  481.  ]  77 

vestigation,  "  that  they  havo  the  power  to  compel  the  production  of  the  books  and 
papers  of  the  Bank,"  &c  That  such  is  the  opinion  of  the  Committee  of  Investi- 
gation they  have  no  doubt;  and,  as  their  opinion,  the  Committee  of  the  Board 
freely  admit  its  claim  to  high  respect.  It  is  only  when  ceasing  to  be  opinion 
merely,  it  shall  come  in  conflict  with  the  rights  of  the  Bank,  or  of  those  intrusted 
with  its  administration,  (if  ever  that  should  happen,)  that  the  Committee  of  the 
Board  will  find  themselves  bound,  however  reluctantly,  to  examine  its  application. 

In  reply  to  that  part  of  your  letter  in  which  you  inquire  whether  the  Commit- 
tee of  Investigation  "  are  authorized  to  conclude  that  the  room  which  has  been 
offered  for  their  accommodation  at  the  banking  house  can  be  conveniently  set 
apart  for  their  exclusive  use  and  occupation,  from  10  o'clock  A.  M.  until  3  oclock 
P.  M.,  during  their  continuance  in  Philadelphia,"  I  am  directed  by  the  Commitee 
to  say  that  they  still  have,  as  they  always  have  had,  every  disposition  to  accom- 
modate the  Committee  of  Investigation,  and  such  they  are  persuaded  is  the  dispo- 
sition also  of  the  Board.  The  Committee  find  their  authority  in  this  respect  set 
forth  in  the  resolutions  of  the  Board  of  the  28th  of  April,  communicated  to  the 
Committee  of  Investigation  on  the  same  day,  by  which  it  appears  that  the  Board 
directed  them  to  offer  to  the  Committee  of  Investigation  "  a  room  in  the  bank- 
ing house  for  its  accommodation,  and  appointed  them  a  Committee  of  Direct- 
ors to  exhibit  the  books  and  papers  according  to  the  requirement  of  the  char- 
ter." But  the  Board  at  the  same  time  declared  that  they  could  not,  "consistently 
with  their  sense  of  duty  to  the  Bank,  and  of  the  obligations  of  the  trust  committed 
to  them,  consent  to  give  up  the  custody  and  possession  of  the  books  and  papers 
of  the  Bank,  nor  to  permit  them  to  be  examined  but  in  the  presence  of  the  Com- 
mittee appointed  by  the  Board,  The  Committee  of  the  Board  have  great  plea- 
sure in  renewing  to  the  Committee  of  Investigation  the  offer  of  the  room,  in  the 
manner  pointed  out  by  this  resolution,  and  in  tendering  any  further  service  in  their 
power  that  can  promote  the  convenience  of  the  Committee  of  Investigation. 
I  have  the  honor  to  be,  very  respectfully,  your  obedient  servant, 

JOHN  SERGEANT,  Chmrman, 

The  Hon.  Francis  Thomas, 

Chairman  of  the  Committee  of  Investigaiioru 

No.  21. 

North  American  Hotel, 

Committee  Room,  3Iaj/  1,  1834 

Sir:  I  have  the  honor  to  enclose  to  you  the  accompanying  copies  of  resolutions 
which  have  been  adopted  by  the  Committee  of  Investigation. 
Very  respectful!}',  your  obedient  servant, 

FRANCIS  THOMAS,  Chairman. 
John  Sergeant,  Esq. 

Chairman  of  Committee  of  Directors  of  the  Bank  U.  S. 


[Enclosed  in  the  foregoing.] 

Resolved,  That  the  President  and  Directors  of  the  Bank  be  requested  to  fur- 
nish the  Committee  with  copies  of  all  correspondence  between  the  President  of 
the  Bank  or  any  of  its  officers  with  members  of  Congress,  or  of  unanswered  letters 
received  from  any  one  of  them  since  the  1st  day  of  July,  1832,  touching  the  re- 
newal of  the  charter  of  the  Bank,  the  removal  or  restoration  of  the  public  depo- 
sites,  or  touching  the  business  transactions  of  such  members  with  said  Bank. 

Resolved,  That  the  President  and  Directors  of  the  Bank  be  requested  to  fur- 
nish the  Committee  with  a  statement  showing  the  whole  number  of  slaves  whicli 


78  f  Rep.  No.  481.  J 

it  has  taken  since  its  establishment,  by  purchase  or  in  payment  of  debts,  the  time 
when  and  from  whom  each  was  taken,  the  amount  they  were  taken  to  pay  or  se- 
cure; and  whether  such  debts  were  under  protest  when  such  slaves  were  taken, 
the  names  of  all  parties  obligated  upon  each  debt,  and  whetiier  such  slaves  have 
been  sold  by  the  Bank;  and,  if  so,  the  amount  obtained  for  each,  the  deficiency  or 
excess  in  each  case  of  sale  in  respect  to  the  debt  on  which  such  slaves  were  taken, 
designating  the  branches  at  which  such  slaves  were  taken  or  sold. 

Resolved,  That  the  President  and  Directors  of  the  Bank  be  requested  to  fur- 
nish this  Committee  with  a  statement  of  their  expense  account  since  the  1st  of 
January,  1829,  up  to  the  date  of  this  resolution  being  complied  with,  showing  the 
items  and  total  for  each  half  year,  corresponding  with  the  entries  in  their  expense 
book,  and  showing  the  names  and  residence  of  all  persons  to  whom  any  payments 
have  been  made,  the  amount  to  each,  and  the  time  and  consideration  of  such  pay- 
ments, with  copies  of  all  vouchers  taken  for  such  payments. 

Resolved,  That  the  President  and  Directors  of  the  Bank  be  requested  to  fur- 
nish this  Committee  with  a  statement  in  detail  of  all  over-drafts  which  have  been 
made  on  said  Bank  or  branches  since  1829,  by  members  of  Congress,  or  State 
Legislatures;  the  time  such  over-drafts  were  made;  and  also  by  printers,  editors, 
and  publishers  of  newspapers  or  periodicals,  stating  the  time  and  amount  of  each 
over-draft,  by  whom  made,  the  period  such  over-drafts  remained  unpaid,  and  the 
time  and  manner  in  which  such  drafts  have  been  paid  or  secured. 

Resolved,  That  the  President  and  Directors  of  the  Bank  be  requested  to  fur- 
nish this  Committee  with  the  particular  items  and  the  aggregate  of  all  fees  or 
compensations  paid  during  each  year  to  attorneys,  counsellors,  or  lawyers,  since 
the  establishment  of  the  Bank;  stating  the  amount  paid  to  each  person  employed, 
together  with  their  names  and  residence,  the  times  when  the  payments  were  made, 
and  the  particular  services  rendered  for  each  charge  paid;  also  whether  the  same 
has  been  paid  at  the  parent  Bank  or  branches,  and  at  which,  designating  them; 
also  of  all  sums  paid  as  a  general  or  annual  fee  or  salary  to  counsellors  for  the 
Bank,  specifying  the  name  of  each  person,  the  amounts,  and  times,  and  places  of 
payment;  and  also  whether  such  sums  were  paid  b}'  the  order  in  each  case  of  the 
Board  of  Directors,  or  how  otherwise  paid,  designating  such  sums  as  have  been 
paid  in  cash,  and  such  as  may  have  been  passed  to  the  credit  of  such  persons  or 
others  in  payment  of  any  debt  or  debts  due  to  said  Bank. 

Resolved,  That  the  President  and  Directors  of  the  Bank  be  requested  to  fur- 
nish this  Committee  with  the  entire  correspondence  between  the  Bank  and  the 
New  York  branch  since  the  1st  of  January,  1833. 

Resolved,  That  the  President  and  Directors  of  the  Bank  be  requested  to  fur- 
nish this  Committee  with  a  statement  of  all  the  accounts  and  copies  of  the  entire 
correspondence  between  the  Bank  or  any  of  its  oflicers  and ;  also  the  corre- 
spondence of  the  Bank,  or  that  of  any  of  its  oflicers  with  the  oflicers  of  the  branch  at 
Washington,  touching  the  debt  owing,  or  which  lias  heretofore  been  owing  by  them 
to  the  Bank  of  the  United  States  or  any  of  its  branches,  oc  touching  any  negotia- 
tions for  the  loan  or  payment  of  money  since  the  1st  of  January,  1829. 

Resolved,  I'liat  the  President  and  Directors  of  the  Bank  be  requested  to  fur- 
nish this  Committee  with  a  statement  showing  the  amount  of  (lel)t  directly  or  indi- 
rectly due  or  owing  to  said  Bank  by and ,  or  eitlier  or  botli,  jointly 

or  severally,  or  by  any  other  person  for  their  benefit,  or  the  benefit  of  either  of 
them;  sliowing  also  the  amount  of  debt  thus  due  at  any  time  heretofore,  with  a 
statement  of  all  payments  on  their  account,  with  the  dates  thereof  since  the  1st  of 
April,  1832,  with  copies  of  any  deed  or  deeds  of  trust,  arrangement,  contract,  or 
agreement,  or  assignment,  entered  into  between  said  Bank  and  them,  or  either  of 
them,  or  others  for  the  benefit  of  said  Bank,  or  in  which  it  may  have  a  beneficial 
interest;  also  copies  of  the  entire  correspondence  between  said  Bank,  or  any  officer 

thereof,  and  tlie  said and ,  or  either  of  them;  also  a  copy  of  any  consent 

which  the  Bank  may  have  given,  so  far  as  concerned  permitting to  cstab- 


[Rep.  No.  481.  J  79 

ish  and  publish  a  newspaper  in  the  city  of ,  notwithstanding  his  contract  with 

to  the  contrary. 

Resolved,  Tliat  the  President  and  Directors  of  the  Bank  be  requested  to  fur- 
nish this  Committee  with  a  statement  of  the  amount  of  debt  directly  or  indirectly 

due  or  owing  to  the  said  Bank,  or  any  of  its  branches,  from ,  editor  of  the 

,  or  any  other  person  for  his  account  and  benefit;  stating  the  maximum  of 

liis  loans  or  debt  at  any  time  since  he  became  indebted,  the  times  and  places 
when  and  where  contracted,  and  the  time  and  manner  in  which  the  same  has  been 
paid,  reduced,  or  secured,  and  with  copies  of  its  entire  correspondence  with  the 

said  . 

'Resolved,  That  the  President  and  Directors  of  the  Bank  be  requested  to  furnish 
this   Committee    with  a  statement,  showing  the  details  of  the  debt,  which  has,  at 

any  time,  been  owing  by ,  publisher  of  the ,  since 

March,  1832,  and  showing  how  the  same  has  been  settled,  secured,  or  arranged;  also 
copies  of  all  proceedings  of  the  Board  of  Directors,  or  any  committee  or  officer  of 
said  Bank,  in  relation  to  said  debt,  since  that  period;  showing  also  the  amount  of 
loss,  if  any,  it  has,  or  may  probably,  sustain  by  him. 

Resolved,  That  the  President  and  Directors  of  the  Bank  be  requested  to  fur- 
nish this  Committee  with  copies  of  all  legal  opinions  which  it  may  have  obtained  from 
counsel,  touching  the  right  of  the  Bank  to  Iiold  the  public  moneys,  contrary  to  the 
jx)wers  or  orders  of  the  Secretary  of  the  Treasury  to  remove  the  same;  also  co- 
pies of  all  the  opinions  obtained  from  counsel,  in  relation  to  delivering  over,  as 
directed  by  the  proper  officer,  the  funds,  books,  and  papers,  provided  for  paying 
revolutionary  pensioners,  or  annuities,  under  the  act  of  7th  June,  ]832. 

Resolved,  That  the  President  and  Directors  of  the  Bank  be  requested  to  fur- 
nish this  Committee  witii  a  detailed  statement  of  all  loans  made  since  the  1st  of 
Jaimary,  1829,  to  individuals  wlio  then  were,  who  have  been  since,  or  who  now 
are,  members  of  Congress,  stating  the  amount  of  each  loan,  when  the  same  was; 
made,  for  what  term^the  security  was  given,  and  the  time  wlien  such  security  was 
received;  and  also  the  security  which  the  Bank  now  holds,  and  the  amount  now 
owing  by  any  and  each  of  such  borrowers,  or  other  persons  for  the  benefit  of  such 
borrowers,  at  the  Bank,  or  either  of  the  branches;  and  stating  also  the  particulars 
of  any  such  loans  which  have  been  protested,  or  which  are  now  under  protest,  and 
the  names  of  tho  parties  to  any  such  debts;  als?)  the  names  (if  any)  of  such  per- 
sons whose  notes  have  been  renewed  after  the  same  had  became  due,  and  not  pro- 
tested or  renewed,  with  the  names  of  individuals,  parties  to  said  renewals,  whose 
notes  were  under  protest  at  the  times  sucli  renewals  were  made;  and  also  whether 
such  loans  in  each  case  were  made  by  the  Directors  or  otherwise,  and  by  what  au- 
thority. 

No.  22. 
Bank  of  the  United  States,  Mai/  1,  1834. 
Sir:  I  am  directed  by  the  Conmiittcc  of  the  Board  of  Directors  of  the  Bank  of  the 
•  United  States  to  acknowledge  your  letter  of  the  29th  of  April,  and  the  copies  cn- 
rclosed  with  it  of  various  resolutions  of  the  Committee  of  the  House  of  llepresen- 
tu'liv'es  of  the  United  States. 

The  Committee  deem  it  proper  to  lay  your  communication  before  the  Board,  and 
would,  for  that  jiurpose,  have  convened  a  special  meeting  before  this  time,  but  that 
.it  seemed  to  tlicm  necessary,  first,  to  collect  certain  materials  of  information  for 
the  Board.  This  work  they  caused  to  bo  begun  as  soon  as  they  could;  it  will 
be  completed  at  tho  earliest  moment  possible,  so  as  to  be  laid  before  the  Board  to- 
morrow, after  which  no  time  will  be  lost  in  communicating  to  you  their  decision. 
-With  groat  respect,  I  have  the  honor  to  be, 

Your  most  obedient  servant, 

JOHN  SERGEANT,  Chairman. 
Hon.  Francis  Thomas, 

Chairman  of  the  Committee  of  Investigation. 


80  [  Rep.  No.  481.  ] 

No.  23. 

Bank  of  the  United  States,  May  2,  1834. 

Sir:  I  have  the  honor  to  acknowledge  your  communication  of  the  1st  instant, 
together  with  sundry  copies  of  resolutions  which  accompanied  it.  They  have 
been  laid  before  the  Committee  and  before  the  Board. 

The  Committee  this  morning  also  laid  before  the  Board  your  communication  of 
the  29th  ult.,  and  the  copies  of  resolutions  accompanying  it;  and  they  have  di- 
rected me  to  inform  you,  that  as  the  resolutions  of  the  1st  instant  will  involve  the 
necessity  of  a  similar  inquiry  as  those  of  the  29th  ult.,  the  Board  do  not  deem  it 
expedient  to  decide  upon  the  one  until  they  are  prepared  to  decide  upon  the  other. 
As  soon  as  this  decision  is  made,  it  will  be  communicated  to  you. 
With  great  respect,  «fec. 

JOHN  SERGEANT,  Chairman. 
Hon.  Francis  Thomas, 

Chairman  of  the  Committee  of  Investigation. 

No.  24. 

North  American  Hotel,  Committee  Room,  May  2,  1834. 

Sir:  In  compliance  with  the  directions  of  the  Committee  of  Investigation,  I 
have  the  honor  to  enclose  to  you  the  accompanying  copies  of  resolutions;  and  re- 
main, with  great  respect,  your  obedient  servant, 

FRANCIS  THOMAS,  Chairman. 
To  John  Sergeant,  Esq., 

Chairman  of  Committee  of  Directors  of  Bank  of  the  U.  S. 

No.  25. 
[Enclosed  in  foregoing.] 

(  •  Committee  Room,  (North  American  Hotel,)  May  2,  1834. 

Resolved,  That  the  President  and  Directors  of  the  Bank  of  the  United  States 
be  required  to  submit  for  the  inspection  of  this  Committee,  at  their  committee 
room  at  the  North  American  Hotel,  on  Saturday,  the  3d  day  of  May  instant,  at 
11  o'clock,  A.  M.,  the  book  or  books  which  contain  the  minutes  of  the  proceed- 
ings of  the  Board  of  Directors,  at  their  several  sittings  on  the  1st  and  8th  days  of 
October  in  the  year  1833,  and  from  the  21st  day  of  April,  1834,  to  this  day. 

Also,  the  report  of  a  Committee  of  the  Board,  rejecting  a  proposition  to  trans- 
mit a  copy  of  certain  resolutions  adopted  on  the  1st  day  of  October,  1833,  to  the 
Secretary  of  the  Treasury  of  the  United  States;  also,  the  expense  book  of  the  Bank, 
and  the  vouchers  for  expenses  paid  or  incurred  by  said  Bank,  since  the  1st  of 
January,  1832. 

A  true  copy:  RICHARD  RUSH. 

No.  26. 

Committee  Room,  (North  American  Hotel,)  3Iay  2,  1834. 
Whereas  this  Committee,  sincerely  desirous  to  conduct  the  inquiries,  examina- 
tions, and  investigations  which  they  have  been  required  by  the  House  of  Repre- 
sentatives to  make,  with  fairness,  impartiality,  order,  and  despatch,  have  learned 
with  regret  tliat  the  Directors  of  the  Bank  of  the  United  States  have  declined 
accommodating  this  Committee  with  a  room  in  their  banking  house,  for  the  ex- 


[  Rep.  No.  481.  J  81 


elusive  use  and  occupation  of  this  Coaimittee:  Therefore,  Resolved,  That  the  sit- 
tings of  tliis  Committee  shall  be  held  in  their  room  at  the  North  American  Hotels 
in  the  city  of  Philadelphia,  until  otherwise  ordered. 

A  truu  copy:  RICHARD  RUSH. 

No.  27. 
Bank  of  the  United  States,  May  3,  1834. 
Sir:  I  am  directed  by  the  Committee  of  the  Board  to  acknowledge  the  honor 
of  your  letter  of  the  1st  instant,  covering  sundry  resolutions  of  the  Committee  of 
Investigation;  and  in  reply  to  that  letter,  as  well  as  in  further  reply  to  your  letter 
of  the  29th  lilt.,  to  enclose  to  you  a  copy  of  the  resolution  of  the  Board  of  Direc- 
tors of  the  Bank  of  the  United  States,  at  a  special  meeting  convened  this  morning 
for  the  purpose  of  taking  into  consideration  the  several  communications  of  the 
Committee  of  Investigation,  not  heretofore  answered. 

With  great  respect,  your  obedient  servant, 

JOHN  SERGEANT,  Chairman^ 
The  Hon.  Francis  Thomas, 

Chairman  of  the   Committee  of  Investigation. 

No.  28. 
[Enclosed  in  tlie  foregoing.] 

Resolved,  That  the  Board  do  not  feel  themselves  at  liberty  to  comply  with  the 
requirement  of  the  resolutions  of  the  Committee  of  Investigation  of  the  29th  ulti- 
mo and  1st  instant,  and  do  not  tliink  they  are  bound  to  do  so,  inasmuch  as  in  re- 
spect to  a  part  of  the  papers  called  for,  the  effect  would  be  the  same  as  the  surren- 
der of  their  books  and  papers  to  a  secret  and  ex-parte  examination,  which  they 
have  already  refused  to  consent  to;  and  as  to  the  other  part  they  relate  to  mattei-s 
over  which  the  Board  have  no  control;  and  if  they  could  ovei'come  these  objec- 
tions, and  had  the  power  over  all  the  papers,  still  it  would  be  impossible  for  them 
to  comply  within  any  reasonable  time,  having  ascertained,  by  a  careful  examina- 
tion, that  the  copies  and  statements,  called  for  by  the  resolutions  of  the  29th  ult. 
alone,  would  require  the  uninterrupted  labor  of  two  clerks  for  at  least  ten  months 
to  make  them  out;  and  that  the  remaining  resolutions,  so  far  as  they  concern  mat- 
ters not  beyond  the  reach  of  the  Board,  would  require  great  additional  time,  which 
they  are  not  able  exactly  to  compute,  without  causing  what  ihey  fear  would  be 
an  inconvenient  delay  to  the  Committee  of  Investigation;  and  they  take  it  for 
granted  that  it  would  no  more  comport  with  the  views  of  the  Committee  of  Inves- 
tigation to  wait  till  so  distant  a  period,  than  it  would  with  the  rights  of  the  Bank 
to  have  such  a  burthen  imposed  upon  it. 

No.  29. 
Bank  of  the  United  States,  May  S   1834. 
Sir:  I  am  directed  by  the  Committee  of  the  Board  to  acknowledge  the  honor  of 
your  letter  of  the   2d  instant,  covering  copies  of  two  resolutions  of  the  Committee 
of  Investigation,  and  to  inibrm  you  that  a  special  meeting  of  the  Board  was  called 
at  the  earliest  praclical)le   hour  this  morning,  that  there  miglit  be  no  disappoint- 
ment or  delay  to  the  Committee  of  Investigation.     The  answer    will  be  found  m 
the  copies  of  resolutions,  herewith  transmitted  by  order  of  the  Committee. 
With  great  respect, 

I  have  the  honor  to  be. 

Your  obedient  servant, 

JOHN  SERGEANT,  Chairman. 
Hon.  Francis  Thomas, 

Chairman  of  the  Committee  of  Investigation. 


S2  I   Rep.  No.  481.  ] 

No.  30. 
[Enclosed  in  the  foregoing'.] 

Resolved,  That  the  Board  are  not  aware  of  having  declineo  to  accommodate 
the  Committee  of  Investigation  with  the  exclusive  use  and  possession  of  a  room  in 
the  banking  house,  unless  the  Committee  of  Investigation  so  construe  the  early 
and  ready  ofi'er  of  the  room  by  the  Board  with  the  assertion  of  the  right  of  the 
Committee  of  the  Board  to  be  present  at  the  examination  and  investigation  of  the 
books  and  papers  of  the  Bank,  and  to  have  the  care  and  custody  of  the  same;  and 
if  such  be  the  meaning  of  the  Committee  of  Investigation,  then  the  Board  are 
constrained  to  adhere  to  the  ground,  as  they  think  of  manifest  right,  taken  in  their 
resolution  of  the  28th  ultimo,  namely,  that  "  the  Board  cannot,  consistently  with 
their  sense  of  duty  to  the  Bank,  and  of  the  obligations  of  the  trust  committed  to 
them,  consent  to  give  up  the  custody  and  possession  of  the  books  and  papers  of 
the  Bank,  nor  to  permit  them  to  be  examined  but  in  the  presence  of  the  Commit- 
tee appointed  by  the  Board. 

Resolved,  That,  with  every  disposition  on  the  part  of  the  Board  to  conform  to 
the  wishes  of  the  Committee  of  Investigation,  so  far  as  it  may  be  done  without  a 
violation  of  the  trust  reposed  in  them,  the  Board  cannot,  nevertheless,  consent  to 
let  the  books  and  papers  of  the  Bank  go  out  of  their  care  and  custody,  nor  out  of 
the  banking  house,  which  is  their  proper  place  of  deposite;  and,  therefore,  they 
cannot  comply  with  that  part  of  the  resolution  of  the  Committee  of  Investigation 
of  the  2d  instant,  which  requires  that  certain  of  the  books  and  papers  of  the  Bank  be 
sent  to  the  North  American  Hotel  this  day  at  eleven  o'clock,  believing  that  this  would 
be  contrary  to  their  duty  to  the  stockholders,  and  would  transcend  their  lawful 
power,  as  well  as  be  liable  to  be  deemed  an  abandonment  of  the  right  to  be  pre- 
sent by  themselves,  or  their  committee  or  agents,  at  the  examination  and  investi- 
gation; inferring,  in  all  these  respects,  a  very  grave  responsibility,  which  the  Board, 
in  their  limited  authority,  do  not  think  they  can  be  reasonably  required  to  assume. 

No.  31. 

Committee  Room,  Mai/  5,  1834. 

Str:  By  authority  from  the  Committee  of  Investigation,  I  have  the  honor  to 
enclose  to  you  the  accompanying  resolution;  and  to  be, 

With  high  respect,  your  obedient  servant, 

FRANCIS  THOMAS. 
To  John  Sergkant,  Esq., 

Chairman  of  the  Committee  of  Directors  of  the  U.  S.  Bank. 

No.  32. 
[Enclosed  in  the  foregoing.] 

Whereas  the  President  and  Directors  of  the  Bank  of  the  United  States  have 
refused  to  submit  certain  of  their  books  and  proceedings  to  the  inspection  of  this 
Committee,  at  the  Committee  Room  at  the  North  American  Hotel,  as  required  in 
the  Committee's  resolutioH  of  the  2d  instant,  but  have  declared  that  they  are  not 
aware  that  they  have  declined  to  furnish  this  Committee  a  room  in  their  banking 
house,  for  its  exclusive  use  and  occupation,  as  expressed  in  the  second  resolution 
of  the  3d  instant,  and  this  Committee  is  earnestly  desirous  fully  to  execute  the 
resolution  of  the  House  of  Representatives,  and  does  not  waive  its  right  to  inspect 
the  books  of  the  Bank  as  required:  therefore, 


[  Rep.  No.  481.  ]  83 

Resolved^  That  ihis  committee  will  repair  to  the  banking  house  this  day  at  one 
•o'clock,  to  inspect  such  of  the  books  called  for  in  the  resolution  of  the  28th  of 
April,  1834,  and  such  other  books  as  they  may  require  to  be  produced;  and  that 
Uie  chairman  inform  the  Committee  of  Directors  of  the  Bank  thereof. 

A  true  copy:  RICHARD  RUSH. 

No.  33. 

South  Fourth  Street,  No.  89,  > 
3Iay  5,  1834,  11^  A.  M.      ) 
Sir:  I  have  the  honor  to  acknowledge  your  letter  of  this  date,  just  now  received. 
It  appears  to  me  impracticable  to  bring  together  the  Committee,  and  to  make 
the  needful  arrangements  for  their  receiving  you,  and  attending  the  investigation 
and  examination  of  the  books  and  papers  of  the  Bank,  in  conjunction  with  the 
Committee  of  Investigation,  by  the  time  you  mention.  They  will  be  re-assembled, 
however,  without  unnecessary  delay,  and,  I  do  not  doubt,  will  notify  to  you  the  time 
when  they  will  be  prepared  to  meet  the  Committee  of  Investigation,  and  act  with 
them  in  the  investigation  and  examination — probably  not  later  than  some  hour 
to-morrow. 

With  great  respect,  I  have  the  honor  to  be,  your  most  obedient  servant, 

J.  SERGEANT,  Chairman. 
Hon.  Francis  Thomas, 

Chairman  of  the  Committee  of  Investigation. 


No.  34. 

North  American  Hotel,  May  5,  1834. 

Sir:  Your  unofficial  communication  has  just  been  delivered  to  me.  The 
members  of  the  Committee  of  Investigation  separated  this  morning,  after 
adopting  the  resolution  which  I  have  had  the  honor  to  transmit  to  you,  to  reas- 
semble again  at  one  o'clock,  to  enter  on  the  performance  of  their  duty,  at  the 
Bank.  I  have  no  authority  to  signify  that  this  purpose  will  be  changed  by  your 
letter. 

I  take  pleasure  in  adding,  that  I  have  no  doubt  the  Committee  will  be  pleased 
to  see  any  member  of  the  Committee  of  Directors,  at  the  hour  appointed,  at  tho 
Bank. 

And  am,  with  great  respect,  your  obedient  servant, 

FRANCIS  THOMAS. 

To  John  Sergeant,  Esq.,  Chairman,  S^c. 

No.  35. 

Ordered,  That  the  Cashier  of  the  Bank  of  the  United  States  be,  and  he  is  hereby 
requested  and  required,  to  submit  for  the  inspection  of  the  Commhtee,  the  minute 
books  containing  the  proceedings  of  the  Board  of  Directors  since  the  first  day  of 
January,  1829. 

No.  36. 

Bank  of  the  United  States,  May  5,  1834. 
Sir:  I  have  had  the  honor  of  receiving  from  you,  personally,  in  my  interview 
with  the  Committee  of  Investigation,  a  resolution  of  the  said  Committee,  in  the 
following  words: 


84  [  Rep.  No.  431.  J 

"  Ordered,  That  the  President  of  ihe  Bank  of  the  United  States  be  requested 
and  required  to  submit  to  the  Committee  of  Investigation  the  minute  book  con- 
taining the  proceedings  of  the  Board  of  Directors  of  the  Bank  of  the  United 
States;  the  expense  account  and  vouchers  for  expenditure,  under  a  resolution  of 
the  Board,  of  the  30th  of  November,  1830." 

In  answer  to  tlie  requisition,  I  have  the  honor  to  state  that  I  have  not  the 
custody  of,  nor  control  over,  the  books  and  papers  mentioned  in  the  resolution. 
The  general  custody  of  the  same  is  in  the  Board  of  Directors  of  the  Bank,  who, 
by  resolutions  of  the  24th  and  28th  ultimo,  already  communicated  to  the  Com- 
mittee of  Investigation,  appointed  a  Committee  of  Directors,  for  the  purpose  of 
exhibiting  these  books  and  papers  to  the  Committee  of  Investigation,  and  declared 
that  they  could  not  permit  them  to  be  examined,  except  in  the  presence  of  the 
said  Committee  of  Directors.  I  am,  therefore,  unable  to  comply  with  the  requi- 
sition contained  in  the  resolution. 

I  have  the  honor  to  be,  very  respectfully,  yours, 

N.  BIDDLE,  President. 

Hon.  Francis  Thomas, 

Chairman  of  the  Committee  of  Investigation. 

N.  B.  A  reply,  similar  to  the  above,  was  addressed  by  the  Cashier  to  the  Chair- 
man of  the  Committee  of  Investigation. 


No.  37. 

Bank  of  the  United  States,  May  6,  1834. 

Sm:  In  the  absence  of  the  Chairman  of  the  Committee  of  the  Board,  owing  tO' 
a  cause  explained  to  you  yesterday,  I  have  the  honor  to  send  you  herewith  a  copy 
of  the  resolutions  tlie  Committee  have  adopted  at  a  meeting  this  morning. 
With  great  respect,  I  am,  sir,  your  most  obedient  servant, 

S.  JAUDON,   Caihier, 
The  Hon.  Francis  Thomas, 

Chairman  of  the  Committee  of  the  House  of  Representatives. 


No.  38. 
[Enclosed  in  the  foregoing.] 

At  a  meeting  of  Directors  held  at  the  Bank  on  the  6th  day  of  May,  1834,  the 
following  resolutions  were  adopted: 

Resolved,  That  the  Committee  of  the  Board  will  be  prepared  to  receive  the 
Committee  of  the  House  of  Representatives,  at  the  banking  house  of  the  Bank  of 
the  United  States,  to-morrow  morning,  the  7th  instant,  at  eleven  o'clock,  then 
and  there  to  proceed  in  the  execution  of  their  duty,  according  to  the  requirement 
of  the  charter,  and  in  conformity  with  the  instructions  of  the  Board,  as  contained 
in  the  several  resolutions,  copies  of  which  iiave  iieretofore  been  communicated  to 
the  Committee  of  the  House  of  Representatives  of  the  United  States,  as  the  same 
have  been  explained  to  be  understood  by  this  Committee;  to  which  understanding 
they  continue  to  adhere. 

Resolved,  That  a  copy  of  the  foregoing  resolution  be  transmitted  by  the  Cashier 
to  the  Hon.  Francis  Thomas,  chairman  of  the  Committee  of  Investigation,  in  reply 
to  his  communication  of  yesterday  to  the  Chairman  of  this  Committee. 


[  Rep.  No.  481.  J  85 


No.  39. 
O  May  7,  1834. 

Resolved,  That  the  Committee  will  proceed  to  examine  into  the  truth  of  the 
statement  made  by  the  Government  Directors  to  the  President  of  the  United 
States  and  to  Congress,  and  for  that  purpose  will  this  day  call  for  the  production, 
for  inspection,  of  the  minute  books,  containing  the  proceedings  of  the  Directors  of 
the  Bank,  and  the  expense  books,  and  vouchers  for  expenses  incurred. 

True  copy:  EDWARD  D.  INGRAHAM, 

Secretary  of  Committee  of  Jmwstigation. 

No.  40. 

May  7,  1834. 

The  Chairman  of  the  Committee  of  the  Board  read  to  the  Committee  of  Inves- 
tigation the  following  preamble  and  resolution: 

Whereas  it  appears  from  the  resolution  of  the  House  of  Representatives  of  the 
United  States  appointing  the  Committee  of  Investigation,  that  two  distinct  inqui- 
ries were  contemplated,  one  of  them  directed  to  ascertain  whether  the  charter  had 
been  violated,  and  limited  to  the  acts  of  the  corporation;  and  the  other  so  very 
general  and  indefinite,  as  to  make  it  difficult,  if  not  impossible,  to  say  whether  it 
has  any  limits  at  all,  either  as  to  the  matters  to  be  inquired  into  or  the  mode  of 
pursuing  the  inquiry:  And  whereas  it  appears,  from  calls  made  by  the  Committee 
of  Investigation,  that  they  have  proposed  a  very  wide  range,  embracing,  among 
other  things,  an  extensive  examination  of  the  acts,  transactions,  accounts,  and 
letters  of  individuals,  and  thus  instituting  a  kind  of  general  search,  which  is  the 
more  objectionable,  because,  if  it  have  any  purpose  at  all,  it  must  be  to  criminate 
those  individuals  as  well  as  the  Bank;  and  if  it  have  not  this  purpose,  it  is  without 
any  assignable  object,  and  would  be  an  injurious  invasion  of  private  interests: 
And  whereas,  under  these  circumstances,  it  is  the  duty  of  the  Committee,  by  all 
lawful  means,  to  protect  the  rights  and  sacred  confidence  intrusted  to  their  keep- 
ing, and  to  yield  nothing,  by  consent,  which  cannot  be  legally  demanded  from 
them:  And  whereas,  after  careful  and  anxious  consideration,  they  are  of  opinioa 
that  the  inquiry  can  only  be  rightfully  extended  to  alleged  violations  of  the  char- 
ter, and  this  inquiry  ought  to  be  conducted  according  to  some  certain  principles 
and  rules:  therefore. 

Resolved,  That  the  Committee  of  Investigation  be  respectfully  required,  when 
they  ask  for  books  and  paj)ers,  to  state  specifically,  in  writing,  the  purposes  for 
•which  they  are  proposed  to  be  inspected;  and  if  it  be  to  establish  a  violation  of 
the  charter,  then  to  state  specifically,  in  writing,  what  are  the  alleged  or  supposed 
violations  of  charter  to  which  the  evidence  is  alleged  or  supposed  to  be  appli- 
cable. 

Resolved,  That,  in  the  opinion  of  this  Committee,  it  would  very  much  conduce 
to  the  purposes  of  justice,  as  well  as  to  the  convenience  of  all  concerned,  if  the 
Committee  of  Investigation  would  furnish  a  specification  of  all  the  charges  intended 
to  be  inquired  into,  and  proceed  with  them  in  order  as  stated. 


No.  41. 

Whereas  this  Committee  have,  by  resolutions  severally  communicated  to  the 
President  and  Directors  of  the  Bank  of  the  United  States,  declared  that,  in  dis- 
charging the  duties  confided  to  them  by  the  House  of  Representatives,  they 
claimed,  on  their  responsibility  to  that  House  and  to  their  constituents,  to  regulate 
their  proceedings,  to  judge  of  the  extent  of  their  powers  and  duties  for  themselves; 
that  they  are  not  charged  with  the  duty  of  criminating  the  Bank,  its  directors,^  c 


86  f  Rep.  No.  481.  J 

others,  but  simply  to  inquire,  amongst  other  things,  whether  such  prosecution,  in 
legal  form,  shall  be  instituted;  and  that,  in  so  doing,  they  would^fford  to  every 
person,  who  might  appear  to  be  implicated  by  their  examinations,  full  and  fair- 
opportunity  of  explanation  and  defence: 

Resolved.,  therefore.,  That,  in  performing  the  duty  of  "  inspecting  the  books  and 
examining  into  the  proceedings  of  the  Bank,"  the  Committee  cannot  rightfully  be 
"  required,"  and,  from  the  nature  of  their  duties  cannot  comply  with  a  request,  to 
state  specifically,  in  writing,  the  purposes  for  which  they  are  proposed  to  be 
inspected. 

Resolved,  That  the  Committee  cannot  comply  with  a  request  or  requisition  to 
specify  what  are  the  supposed  violations  of  charter,  because  they  are  not  con- 
ducting a  prosecution,  but  simply  inquiring  whether  one  shall  be  instituted. 

True  copy: 

EDW.  D.  INGRAHAM, 

May  7,  1834.  Sec.  Com.  oj  Investigation. 


1.  Mr.  Mason  called  for  the  production  of  the  minute  books  containing  the  pro- 
ceedings of  the  Board  of  Directors  from  the  1st  of  September,  1832,  to  the  pre- 
sent date. 

2.  The  Chairman  requires  that  the  expense  book  of  the  Bank,  with  the  vouch- 
ers, showing  the  expenses  of  the  Bank  incurred  under  resolution  of  the  30th  No- 
vember, 1830,  be  submitted  to  the  inspection  of  the  Committee  of  Investigation. 

3.  Mr.  Muhlenberg  desired  that  the  books  showing  the  account  of with 

the  Bank  of  the  United  States,  with  the  notes  and  papers  explanatory  of  sucli 
account,  from  the  1st  day  of  January,  1832,  may  be  submitted  to  the  inspection 
of  the  Committee. 

True  copv: 

EDW.  D.  INGRAHAM, 
May  7,  1834.  Sec.  Coin,  of  Investigation. 


4.  Resolved,  That  the  Committee  of  Directors  be,  and  they  are  hereby,  re- 
quested and  required  to  submit,  for  the  inspection  of  this  Committee,  the  credit 
books  and  pay  lists  of  the  Bank,  to  enable  this  Committee  to  ascertain  "  whether 
it  has  used  its  corporate  powers  or  money  to  control  the  press,  to  interfere  in 
politics,  or  influence  elections." 

True  copy: 

EDW.  D.  INGRAHAM, 
May  7, 1834.  Sec.  Coin,  of  Investigation.. 

5.  Resolved,  That  the  Committee  of  Directors  be  requested  and  required  tO" 
submit,  for  the  inspection  of  this  Committee,  the  minute  books  of  the  Bank,  toge- 
ther with  the  correspondence,  journals,  and  other  memorandums  of  the  proceedings 
of  the  Committees  of  Exchange,  on  the  state  of  the  Bank,  and  on  the  Offices,  that 
this  Committee  may  be  enabled  to  ascertain  whether  the  Bank  has  had  any  agency ;,, 
through  its  management  or  money,  in  producing  the  [)reseni  pressure. 

True  copy: 

EDW.  D.  INGRAHAM, 

May  7,  1834.  Sec.  Corn,  of  Investigation. 

Resolved,  That  the  Committee  of  Directors  be,  and  they  are  hereby,  requested 
and  required  to  submit,  for  the  inspection  of  this  Committee^  the  minute  books 


[  Rep.  No.  481.  J  87 

containing  the  proceedings  of  the  Board  of  Directors,  together  with  the  corre- 
spondence, journals  of  the  President  of  the  Bank,  the  Exchange  Committee,  thi 
Committee  on  the  state  of  the  Bank,  and  the  Committee  on  the  Offices,  that  this, 
Committee  may  be  enabled  to  judge  whether  the  Board  of  Directors  have  violated 
the  charter  of  the  Bank,  by  authorizing,  permitting,  or  sanctioning  the  exercise  of 
improper  and  illegal  powers  by  those  committees  or  by  the  President  of  the  Bank. 

True  copy: 

EDW.  D.  INGRAHAM, 
May  7,  1834.  S^<^-  Com.  of  Investigation. 

No.  42. 

Bank  of  the  United  States,  Marj  8,  1834. 

Sir:  I  have  the  honor  to  enclose  to  you  a  copy  of  a  resolution  of  the  Committee 
of  the  Board,  and  to  be. 

With  great  respect,  your  most  obedient  servant, 

JOHN  SERGEANT,  Chairman. 
The  Hon.  Francis  Thomas, 

Chairman  Com.  of  Investigation. 


No.  43. 
[Enclosed  m  the  foregoing.] 

Resolved,  That,  after  full  deliberation,  and  with  every  feeling  of  respect  for 
the  House  of  Representatives,  and  for  the  Committee  appointed  by  them,  and 
with  a  firm  conviction  that  they  have  nothing  to  fear  from  scrutiny  of  the  affairs 
of  the  Bank,  however  severe,  the  Committee  of  the  Board  arc  constrained  to 
adhere  to  the  resolutions  yesterday  handed  to  the  Committee  of  Investigation,  and 
to  decline  complying  with  the  calls  heretofore  made  upon  them,  in  any  other 
manner  than  is  therein  laid  down;  believing  this  to  be  their  duty,  from  which  they 
are  not  at  liberty  to  depart. 

No.  44. 

Whereas  at  a  special  meeting  of  the  Board  of  Directors  of  the  Bank  of  the 
United  States,  held  at  the  Bank  on  the  24th  of  April,  in  this  present  year,  a  re- 
solution was  adopted  and  communicated  to  the  Committee  of  the  House  of  Repre- 
sentatives, by  which  a  "Committee  of  seven  members  was  appointed"  to  receive 
the  Committee  of  the  House  of  Representatives  of  the  United  States,  and  to  offer 
for  their  inspection  such  books  and  papers  of  the  Bank  as  may  be  necessary  to 
exhibit  the  proceedings  of  the  corporation,  according  to  the  requirement  of  the 
charter:" 

And  whereas,  at  a  room  in  the  banking  house,  on  the  7th  day  of  May  instant, 
the  Committee  of  the  House  of  Representatives,  required  of  the  Committee  of  the 
Board  of  Directors  the  production  of  certain  books  and  papers  of  the  Bank  of  the 
United  States  by  the  Committee  of  the  House  of  Representatives  to  be  then  and 
there  inspected,  as  set  forth  in  the  following  resolutions: 

"  Ordered,  That  the  minute  book,  containing  the  proceedings  of  the  Board  of 
Directors  from  the  30th  September,  1830,  to  this  date.  May  7,  1834,  be  produced 
for  inspection." 

"  Ordered,  That  the  books  showing  the  accounts  of ,  of  , 

with  the  Bank  of  the  United  States,  with  the  notes  and  papers  explanatory  of 
such  account,  from  the  1st  day  of  January,  1832,  to  this  day,  be  submitted  to  the 
inspection  of  the  Committee." 


B8  [  Rep.  No.  481.  J 

,  "  Ordered,  That  the  expense  book  of  the  Bank,  with  the  vouchers  showing  the 
expenses  of  the  Bank  incurred  under  a  resolution  of  tlie  30th  of  November,  1830, 
be  submitted  to  tlie  inspection  of  the  Committee  of  Investigation." 

'■'■  Ordered,  That  the  Committee  of  Directors  be  requested  and  required  to  sub- 
mit, for  the  inspection  of  this  Conimhtee,  the  minute  books  of  the  Bank,  together 
with  the  correspondence,  journals,  and  other  memorandums  of  the  proceedings  of 
the  Committee  of  Exchange  on  the  state  of  the  Bank,  and  on  the  Offices,  that  this 
committee  may  be  enabled  to  ascertain  whether  the  Bank  has  had  any  agency, 
through  its  management  or  money,  in  producing  the  present  pressure." 

"  Ordered,  That  the  Committee  of  Directors  be,  and  they  are  hereby,  requested 
and  required  to  submit,  for  the  inspection  of  this  Committee,  the  minute  books 
containing  the  proceedings  of  the  Board  of  Directors,  together  with  the  corre- 
spondence, journals  of  the  President  of  the  Bank,  the  Exchange  Committee,  the 
Committee  on  the  state  of  the  Bank,  and  the  Committee  on  the  Offices,  that  this 
Committee  may  be  enabled  to  judge  whether  the  Board  of  Directors  have  violated 
the  charter  o'l  the  Bank,  by  authorizing,  permitting,  or  sanctioning  the  exercise  of 
improper  and  illegal  powers  by  those  Committees,  or  by  the  President  of  the  Bank." 

And  as  preliminary  to  a  reply,  received  from  the  Committee  of  the  Board  of 
Directors,  a  preamble  and  resolutions  as  follows: 

"  Whereas  it  appears  from  the  resolution  of  the  House  of  Representatives  of 
the  United  States  appointing  the  Committee  of  Investigation,  that  two  distinct  in- 
quiries were  contemplated;  one  of  them  directed  to  ascertain  whether  the  charter 
had  been  violated  and  limited  to  the  acts  of  the  corporation,  and  the  other  so  very  ge- 
neral and  indefinite,  as  to  make  it  ditficult,if  not  impossible,  to  say  whether  it  has  any 
limits  at  all,  either  as  to  the  matters  to  be'inquired  into,  or  the  mode  of  pursuing  the  in- 
quiry: and  whereas  it  appears  from  calls  made  by  the  Committee  of  Investi- 
gation, that  they  have  proposed  a  very  wide  range,  embracing,  among  other  things, 
an  extensive  examination  of  the  acts,  transactions,  accounts,  and  letters  of  individuals, 
and  thus  insthuting  a  kind  of  general  search,  which  is  the  more  objectionable,  because 
if  it  have  any  purpose  at  all,  it  must  be  to  criminate  those  individuals  as  well  as 
the  Bank;  and  if  it  have  not  this  purpose,  it  is  without  any  assignable  object,  and 
would  be  an  Injurious  invasion  of  private  interests;  and  whereas,  under  these 
circumstances,  it  is  the  duty  of  this  Committee,  by  all  lawful  means,  to  protect  the 
rights  and  sacred  confidence  intrusted  to  their  keeping,  and  to  yield  nothing  by 
consent  which  cannot  legally  be  demanded  from  them:  and  whereas,  after  careful 
and  anxious  consideration,  they  are  of  opinion  that  the  inquiry  can  only  be  right- 
fully extended  to  alleged  violations  of  the  charter,  and  this  inquiry  ought  to  be 
conducted  according  to  some  certain  principles  and  rules:  therefore, 

"  Resolved,  That  the  Committee  of  Investigation  be  respectfully  required,  when 
they  ask  for  books  and  papers,  to  state  specifically,  in  writing,  the  purposes  for 
which  they  are  proposed  to  be  inspected;  and,  if  it  be  to  establish  a  violation  of 
the  charter,  then  to  state  specifically,  in  writing,  what  are  the  alleged  or  supposed 
violations  of  charter  to  which  the  evidence  is  alleged  or  supposed  to  apply. 

''Resolved,  That,  in  the  opinion  of  this  Committee,  it  would  very  much  conduce 
to  the  purposes  of  justice,  as  well  as  to  the  convenience  of  all  concerned,  if  the 
Committee  of  Investigation  would  furnish  a  specification  of  all  the  charges  intend- 
ed to  be  inijuired  into,  and  proceed  with  them  in  order  as  stated." 

Which  being  considered,  was  replied  to  by  this  Committee,  as  follows: 

"  Whereas  this  Committee  have,  by  resolutions,  severally  communicated  to  the 
President  and  Directors  of  the  Bank  of  the  United  States,  declared  that,  in  dis- 
charging the  duties  confided  to  them  by  the  House  of  Representatives,  they 
claimed,  on  their  responsibility  to  that  House  and  their  constituents,  to  regulate 
their  proceedings,  to  judge  of  the  extent  of  their  powers  and  duties  for  them- 
selves; that  they  are  not  charged  with  the  duty  of  criminating  the  Bank,  its  direct- 


[  Rep.  No  481.  ]  89 

ors,  or  others;  but  simply  to  inquire,  amongst  other  things,  whether  such  prosecu- 
tion, in  legal  form,  shall  be  instituted;  and  that,  in  so  doing,  they  would  afford  to 
every  person  who  might  appear  to  be  implicated  by  their  examinations  full  and 
fair  opportunity  of  explanation  and  defence. 

Resolved,  therefore,  That  in  performing  the  duty  of  "  inspecting  the  books,  and 
examining  into  the  proceedings  of  the  Bank,"  the  Committee  cannot  rightfully  be 
"  required,"  and,  from  the  nature  of  their  duties,  cannot  comply  with  a  request,  to 
«tate  specifically,  in  writing,  the  purposes  for  which  they  are  proposed  to  be  in- 
spected. 

Resolved,  That  the  Committee  cannot  comply  with  a  request,  or  requisition,  to 
specify  what  are  the  supposed  violations  of  charter,  because  they  are  not  conduct- 
ing a  prosecution,  but  simply  inquiring  whether  one    '    "  '      r--^:fi^"^ 

And  a  specific  answer  requested. 

That,  in  answer  to  these  several  calls,  the  Commits.       ■  received  the  foRu 

Bank  U.  :>.,  May  rf,  1834. 

Sir:  I  have  the  honor  to  enclose  to  you  a  copy  o  a  resolution  of  the  Committee 
of  the  Board,  and  to  be,  with  great  respect. 

Your  most  ot 

JOHN  SERGEANT,  Chairman. 
To  the  Hon.  Francis  Thomas, 

Chairman  of  the  Committee  of  Investigation. 

Resolved,  That,  after  full  deliberation,  and  with  every  feeling  of  respect  for  the 
House  of  Representatives,  and  for  the  Committee  appointed  by  them,  and  with  a 
firm  conviction  that  they  have  nothing  to  fear  from  scrutiny  of  the  afl'airs  of  the 
Bank,  however  severe,  the  Committee  of  the  Board  are  constrained  to  adhere  to 
the  resolution  yesterday  handed  to  the  Committee  of  Investigation,  and  to  decline 
complying  with  the  calls  heretofore  made  upon  them,  in  any  other  manner  than  is 
therein  laid  down,  beheving  this  to  be  their  duty,  from  which  they  are  not  at 
liberty  to  depart. 

And  whereas  this  Committee  does  not  feel  authorized  to  consider  the  act  of  the 
Committee  of  the  Board  of  Directors,  in  thus  refusing  to  submit  the  books  and 
papers  called  for,  to  the  inspection  of  the  Committee  of  the  House  of  Represen- 
tatives, as  within  the  authority  conferred  on  their  Committee  by  the  Board  of 
Directors,  and  thus  the  act  of  the  corporation:  therefore, 

Resolved,  That  the  chairman  be  requested  to  communicate  this  resolution  to 
the  President  of  the  Bank  of  the  United  States,  and  to  ask  that  it  may  be  sub- 
mitted to  the  Board  of  Directors,  and  this  Committee  informed  by  the  said  Board 
whether  the  refusal  of  the  Committee  aforesaid  is  to  be  regarded  as  the  act  of  the 
Board,  or  done  by  its  authority. 

Resolved,  That  the  Chairman  be  directed  to  transmit  this  resolution  to  the 
President  of  the  Bank  of  the  United  States. 


North  American  Hotel,  May  8,  1834. 

Sir:  I  have  the  honor  to  enclose  to  you  two  resolutions  which  have  been  adopt- 
ed by  the  Committee  of  Investigation,  and  to  ask  the  favor  of  you  to  submit  them 
to  the  consideration  of  the  Board  of  Directors  at  an  early  hour. 
I  have  the  honor  to  be,  very  respectfully, 

Your  obedient  servant, 

FRANCIS  THOMAS, 
Chairman  of  the  Committee  of  Investigation. 
Nicholas  Biddle,  Esq. 

•    President  of  the  U.  S.  Bank. 
12 


90  [  Rep.  No.  481.  J 

No.  45. 

Bank  of  the  United  States,  May  9,  1834, 
Sir:  I  had  last  evening  the  honor  of  receiving  your  letter  dated  "  North  American- 
Hotel,  May  8,  1834,"  accompanying  a  copy  of  two  resolutions  of  the  Committee 
of  Investigation. 

These  papers  were  submitted  to  the  Board  of  Directors  at  their  meeting  this 
morning,  and  I  am  instructed  to  transmit  to  you  a  copy  of  their  proceedings  thereoa. 
This  I  accordingly  do,  with  the  assurance  of  the  respect  of 

Yours, 

N.  BIDDLE,  President 
Vion-  fv.ijMcrs  'I .     .i  i.=!, 

^'       •>■""'  ti/         mittee  of  Investigation,  Philadelphia. 

No.  46. 
[Enclosed  in  the  foregoing.] 

Bank  op  the  United  States,  May  9,  1834. 

At  a  meeting  of  the  Board  of  Directors,  held  this  day,  the  following  resolutions 
were  unanimously  adopted: 

Resolved,  That  the  Board,  having  heard  the  report  of  the  Committee  appointed 
on  the  24th  ultimo,  upon  the  matters  referred  to  them  this  morning,  do  fully  ap- 
prove and  sanction  the  resolutions  adopted  by  the  Committee  on  the  7th  and  8th 
instant,  and  presented  by  them  to  the  Committee  of  Investigation,  which  resolu- 
tions are  as  follows: 

Whereas  it  appears,  from  the  resolution  of  the  House  of  Representatives  of  the 
United  States,  appointing  the  Committee  of  Investigation, that  two  distinct  inquiries 
were  contemplated;  one  of  them  directed  to  ascertain  whether  the  charter  had  been 
violated,  and  limited  to  the  acts  of  the  corporation;  and  the  other  so  very  general 
and  indefinite,  as  to  make  it  difficult,  if  not  impossible,  to  say  whether  it  has 
any  limits  at  all,  either  as  to  the  matters  to  be  inquired  into,  or  the  mode  of  pur- 
suing the  inquiry:  and  whereas  it  appears,  from  the  calls  made  by  the  Committee 
of  Investigation,  that  they  have  proposed  a  very  vvide  range,  embracing,  among 
other  things,  an  extensive  examination  of  the  acts,  tiansactions,  accounts,  and  let- 
ters of  individuals,  and  thus  instituting  a  kind  of  general  search,  which  is  the  more 
objectionable,  because,  if  it  have  any  purpose  at  all,  it  must  be  to  criminate  those 
individuals  as  well  as  the  Bank;  and  if  it  have  not  this  purpose,  it  is  without  any 
assignable  object,  and  would  be  an  injurious  invasion  of  private  interests:  and 
whereas,  under  these  circumstances,  it  is  the  duty  of  this  Committee,  by  all  lawful 
means,  to  protect  the  rights  and  sacred  confidence  entrusted  to  their  keeping,  and 
to  yield  nothing  by  consent  which  cannot  be  legally  demanded  from  them:  and 
whereas,  after  careful  and  anxious  consideration,  they  are  of  opinion  that  the  in- 
quiry can  be  only  rightfully  extended  to  alleged  violations  of  the  charter,  and 
this  inquiry  ought  to  be  conducted  according  to  some  certain  principles  and  rules: 
therefore, 

Resolved,  That  the  Committee  of  Investigation  be  respectfully  required,  when 
they  ask  for  books  and  pa|)ers,  to  state  specifically,  in  writing,  the  purposes  for 
which  they  are  proposed  to  be  inspected;  and  if  it  be  to  establish  a  violation  of  the 
charter,  then  to  state  specificall}',  in  writing,  what  are  the  alleged  or  supposed 
violations  of  charter  to  which  the  evidence  is  alleged  or  supposed  to  be  ap- 
plicable. 

Resolved,  That,  in  the  opinion  of  this  Committee,  it  would  very  much  conduce 
to  the  purposes  of  justice,  as  well  as  to  the  convenience  of  all  concerned,  if  the 


[  Rep.  No.  481.  ]  91 

Committee  of  Investigation  would  furnish  a  specification  of  all  the  charges  in- 
tended to  be  inquired  into,  and  proceed  with  them  in  order  as  stated. 

[Here  follows  the  resolution  of  the  8th  instant,  inclosed  in  the  letter  of  the  Pre- 
sident of  the  8th  instant  to  the  Chairman  of  the  Committee  of  Investigation.] 

Resolved,  That  the  President  be  requested  to  send  a  copy  of  the  above  resolu- 
tion, duly  certified,  to  the  Chairman  of  the  Committee  of  Investigation. 

No.  47. 
By  authority  of  the  House  of  Representatives  n-f  '^"'  ^^-^'^i  States. 

To  Benjamin  S.  Bonsall, 

Marshal  of  the  Eastern  District  of  Pennsylvam 

You  are  hereby  commanded  to  summon  Nichok  die.  presktent,  Emauuel 

Eyre,  Matthew  Newkirk,  John  Sergeant,  Charles    _.,uancey,  John  '^    Tlfv 
John  R.  Neff,  Ambrose  White,  Daniel  W.  Coxe,  John  Goddard,  James 

Lawrence  Lewis,  John  Holmes,  and  William  Piatt,  diret*ur5  of  i' 

United  States,  to  be  and  appear  before   the   Commi-toe  of  ti;e  H 
sentatives   of  the    United    States,  appointed  on  the  4 

the  purpose  of  ascertaining,  as  far  as  practicable,  the  tctuse  ol  the  commercial  em- 
barrassment and  distress  complained  of  by  numerous  citizens  of  the  United  States, 
in  sundry  memorials  which  have  been  presented  to  Congress  at  the  present  ses- 
sion, and  of  inquiring  whether  the  charter  of  the  Bank  of  the  United  States  has 
been  violated,  and  also  what  corruptions  and  abuses  have  existed  in  its  manage- 
ment; whether  it  has  used  its  corporate  power,  or  money,  to  control  the  press, 
to  interfere  in  politics,  or  influence  elections;  and  whether  it  has  had  any 
agency,  through  its  management  or  money,  in  producing  the  existing  pressure; 
also,  to  inspect  the  books  and  examine  into  the  proceedings  of  the  said  Bank,  and 
whether  the  provisions  of  the  charter  have  been  violated  or  not;  and  what  abuses, 
corruptions,  or  malpractices  have  existed  in  the  management  of  said  Bank;  and 
also  to  examine  into  the  affairs  of  the  said  Bank  and  branches;  and  further,  to 
visit  the  principal  Bank,  or  any  of  its  branches,  for  the  purpose  of  inspecting  the 
books,  correspondence,  accounts,  and  other  papers  connected  with  its  management 
or  business,"  in  their  chamber  in  the  North  American  Hotel,  in  the  city  of  Philadel- 
phia,and  to  bring  witii  them  the  credit  books  of  said  Bank,  showing  the  indebted- 
ness of  individuals  to  said  Bank  on  the  tenth  day  of  May  instant,  at  the  hour  of 
twelve  o'clock,  M.  then  and  there  to  testify  touching  the  matters  of  said  inquiry, 
and  to  submit  said  books  to  said  Committee  for  inspection. 

Herein  fail  not,  and  make  return  of  this  summons. 

Witness  the  seal  of  the  House  of  Representatives  of  the  United   States, 

r  -.     and  the  signature  of  the  Hon.  Francis  Thomas,  Chairman  of  the  said 

'■'        '^     Committee,  at  the  city  of  Philadelphia,  this  ninth  day  of  May,  in  the 
year  one  tliousand  eight  hundred  and  thirty-four. 

FRANCIS  THOMAS. 
Attest:         W.  S.  FRANKLIN, 

Clerk  House  of  Representatives  U.  S. 

Marshal's  Office  Philadelphia,  3far/  10th,  1834. 
Served  the  widiin,  on  the  individuals  witiiin  named,  to  wit:  Nicholas  Biddio, 
Emanuel  Eyre,  Lawrence  Lewis,  Ambrose  White,  Daniel  W.  Coxe,  John  Holmes, 
Charles  Chauncey,  John  Goddard,  John  R.  NelT,  William  Piatt,  and  Matthew 
Newkirk,  by  handing  a  copy  thereof  to  each  of  them,  on  Friday,  the  9th  instant; 
and  on  James  C.  Fisher,  John  S.  Henry,  and  John  Sergeant,  by  handing  a  copy 
thereof  to  each  of  them  on  the  10th  da}'  of  May  instant,  between  the  hours  of  S 
and  9,  A.  M.     So  answers, 

BENJAMIN  S.  BONSALL, 
Marshal  Eastern  District  of  Pennslyvania, 


92  [  Rep:  No.  481.  J 

No.  48. 

Tlie  undersigned  having  been  individually  served  by  B.  S.  Bonsall,  Esq,  mar- 
shal of  the  Eastern  District  of  Pennsylvania,  with  a  copy  of  a  process  dated  the 
9th  instant,  by  which  he  was  commanded  to  summon  them,  by  the  following  names 
and  descriptions,  to  wit:  Nicholas  Biddle,  President,  Emanuel  Eyre,  Matthew 
Newkirk,  John  Sergeant,  Charles  Chauncey,  John  S.  Henry,  John  R,  Neff,  Am- 
brose White,  Daniel  W.  Coxe,  John  Goddard,  James  C.  Fisher,  Lawrence  Lewis, 
John  Holmes,  and  William  Piatt,  Directors  of  the  Bank  of  the  United  Slates,  to 
^  *  Committee  of  the  House   of  Representatives  of  the 

^  ,    .  le  4th   day  of  April,  1834,  in  their  chamber  in  the 

North   American  le  city  of  Philadelphia,  and  to  bring  with   them  the 

err, lit  V..-    i. .  - :  .  ^]^g  20th  day  of  May  instant,  at  the  hour  of  twelve 

testify  touching  the  matters  of  said  inquiry,  and  to 

nmittee  for  inspection,  have  consulted  together,  that 

judgment   of  each  other  as  to  the  course  they  were 

ve  concurred,  each  for  himself,  in  the  conclusion  for 

i  ual  conduct,  which  will  now  be  stated;  and,  to  avoid 

rsy,  have   reduced  their   answers  to  writing,  signed 
with  their  names,  and  herewith  respectfully  presented,  each  for  himself,  as  follows: 

1.  Without  waiving  any  objection  there  may  be  to  the  legality  of  the  said  pro- 
cess, or  the  service,  (which  is  expressly  reserved,)  we  deem  it  most  consistent  with 
the  respect  we  wish  upon  all  occasions  to  acknowledge  to  be  due  to  the  Commit- 
tee of  the  House  of  Representatives  of  the  United  States,  to  attend  upon  them  in 
person,  and  accordingly  do  so  attend,  to  manifest  our  respect,  but  not  to  admit 
any  obligation. 

2.  We  do  not  produce  the  books  specified  in  the  paper  before  mentioned,  that 
is  to  say,  "  the  credit  books  of  said  Bank,  showing  the  indebtedness  of  individuals 
to  said  Bank,"  because  they  are  not  in  the  custody  of  either  of  us,  but,  as  has  here- 
tofore been  stated,  of  the  Board,  whose  views  upon  this  subject,  we  would  take 
occasion  to  say,  have  already  been  respectfully  communicated  to  the  Committee  of 
Investigation. 

3.  We  do  not  know  whether  it  was  the  intention  of  the  Committee  of  Investi- 
gation to  call  upon  either  of  us  to  testif}',  or  whether  the  object  of  the  paper  was 
not  simply  to  require  us  to  produce  "  the  credit  books  of  said  Bank,  showing  the 
indebtedness  of  individuals  to  said  Bank."  But,  to  avoid  unnecessary  trouble  to 
the  Committee,  and  in  the  spirit  of  frankness  required  by  the  respect  that  is  due  to 
them,  we  have  deemed  it  proper  to  consider  tlie  alternative  first  mentioned,  and 
each  of  us  now  says,  for  himself,  that,  considering  the  nature  of  the  proceeding, 
and  the  character  of  the  inquiry,  even  as  explained  in  the  resolution  of  the  Com- 
mittee of  Investigation  of  the  7th  instant,  and  considering  that,  as  corporators  and 
directors,  we  are  parties  to  the  proceeding,  we  do  not  consider  ourselves  bound  to 
testify,  and  therefore  respectfully  decline  to  do  so.  We  are  sure  that  the  com- 
mittee will  duly  estimate  the  sacrifice  we  make  of  personal  feeling  in  thus  decid- 
ing, conscious  as  we  are  that  we  have  no  knowledge,  which,  if  a  necessary  regard 
to  our  duties  and  the  rights  of  others  permitted,  we  would  not  willingly  expose 
without  reserve. 

N.  BIDDLE,  A.  WHITE, 

M.  EYRE,  D.  W.  COXE, 

M.  NEWKIRK,  JOHN  GODDARD, 

JOHN  SERGEANT,  JAMES  C.  FISHER, 
CHARLES  CHAUNCEY,      LAWRENCE  LEWIS, 

JOHN  S.  HENRY,  JOHN  HOLMES, 

JOHN  R.  NEFF,  WILLIAM  PLATT. 
Philadelphia. 


f  Rep.  No.  481.  J  93 

No.  49. 

North  American  Hotel,  May  10,  1834. 
Sir  :  I  have  the  honor  to  transmit  to  you,  by  direction  of  the  Committee  of  Inves- 
tigation, two  resolutions,  which  you  will  find  enclosed. 

I  have  the  honor  to  be. 

With  great  respect, 

Your  obedient  servant, 

FRANCIS  THOMAS, 


Chairman. 


To  John  Sergeant,  Esq.,  Chairman  of  the 

Committee  of  the  Board  of  Direi 


Whereas,  resolutions  have  been  adopted  by  this  (  nmittee  into  which  the  aames 
of  private  individuals  were  necessarily  introduced,  Committee  ot 

might  more  readily  know  where  the  accounts  or  j  -^'hich  'yere  c- 

be  examined   confidentially,   were   to  be  found:  ;  :■. —  ..ovei   ueen 

the  intention  of  this  Committee  to  publish  such  resolutions,  unless,  after  such  confi- 
dential examination,  it  should  appear  that  the  duty  of  the  Committee,  under  its  reso- 
lution of  inquiry,  required  it:  and  whereas  the  Directors  of  the  Bank  have 
declined  to  produce  the  accounts  thus  called  for,  and  this  Committee  is  unwilling  to 
excite  suspicions  against  any  one  which  they  have  not  the  means  either  to  justify 
or  remove,  and  there  is  no  longer  necessity  for  such  injunction  of  confidence: 
therefore. 

Resolved,  That  the  members  of  this  Committee  be,  and  they  are,  released  from 
the  injunction  which  has  been  imposed,  to  consider  confidential  their  journal  and 
proceedings,  except  such  parts  thereof  where  the  names  of  private  individuals  ap- 
pear. 

Resolved,  That  a  copy  of  the  foregoing  preamble  and  resolution  be  forwarded 
to  the  Committee  of  Directors. 

True  copy: 

EDWD.  D.  INGRAHAM, 
Secretary  to  the   Committee  of  Investigation. 

WthMay,  1834. 

Committee  Room,  North  American  Hotel,  ) 

10th  May,  1834.      ) 
Resolved,  That  when  this  Committee  adjourn  to-day,  they  adjourn  to  meet    in 
the  City  of  Washington,  on  Thursday,  the  i5th  of  May,  1834,  atlO  o'clock,  A.  M. 
True  copy:  EDWD.  D.  INGRAHAM, 

Secretary  to  the  Committee  of  Investigation. 


UNIVERSITY  OF  CALIFORNIA  AT  LOS  ANGELES 

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